Contact: Jennifer Galloway
(703) 797-6600
jgalloway@msrb.org
MSRB SEEKS COMMENT ON PROPOSAL TO COLLECT AND DISSEMINATE
529 COLLEGE SAVINGS PLAN DATA
Alexandria, VA – The Municipal Securities Rulemaking Board (MSRB) today issued a request for public comment on a plan to create a centralized system for collection and dissemination of market information for 529 college savings plans—programs established by states for families to invest money to pay for qualified higher education expenses of the plans’ beneficiaries.
Currently, the MSRB’s Electronic Municipal Market Access (EMMA) system collects 529 plan disclosure documents, but not other market information for these types of municipal securities. The MSRB is requesting comment on whether collecting additional 529 plan data, such as total plan assets, quarterly contributions and withdrawals, total number of active accounts and total rollover distributions, would be valuable to investors and other market participants.
The MSRB’s mission is, in part, to protect investors by drafting rules governing the activities of dealers who transact business in 529 plans. The MSRB plans to release additional guidance regarding the distribution and sale of interests in 529 plans later this year.
“By gathering market information, the MSRB will have a better understanding of the size and growth of the 529 plan market, which will help inform its rulemaking,” said MSRB Executive Director Lynnette Kelly Hotchkiss.
Comments should be submitted to later than August 31, 2011. Comments should be sent via email to CommentLetters@msrb.org. Please indicate the notice number in the subject line of the email. To submit comments via regular mail, please send them to Ronald W. Smith, Corporate Secretary, MSRB, 1900 Duke Street, Suite 600, Alexandria, VA 22314. Comments will be available for public inspection on the MSRB’s website.
