The CFTC rule change regarding the standards for an SRO's financial surveillance examination program for futures commission merchants ("FCMs") was published in the Federal Register. The amendments, previously covered here, will go into effect on May 3, 2019.

The SEC rule mandating that the appointment or removal of a Public Company Accounting Oversight Board ("PCAOB") hearing officer be subject to agency approval was published in the Federal Register. The rule is effective as of April 3, 2019.

FINRA proposed to adopt legacy NASD and Incorporated NYSE Rules and Interpretations into the consolidated FINRA rulebook without any substantive changes. FINRA proposed to adopt: the NASD Rule 1010 Series ("Membership Proceedings") into the FINRA Rule 1000 Series; NASD Rule 1090 ("Foreign Members") as FINRA Rule 1021; NASD Rule 2340 ("Customer Account Statements") as FINRA Rule 2231; NASD Rule 2510 ("Discretionary Accounts") as FINRA Rule 3260; NASD Rule 3140 ("Approval of Change in Exempt Status under Exchange Act Rule 15c3-3") as FINRA Rule 1020; NASD Rule 3150 ("Reporting Requirements for

The CFTC rule change requiring the notification to counterparties of their right to elect to segregate initial margin in transactions with swap dealers was published in the Federal Register. The amendments go into effect on May 3, 2019. As previously covered, the CFTC adopted modifications to CFTC Rules 23.700, 23.701, 23.702, 23.703, and 23.704, as proposed.

The SEC Division of Corporation Finance granted relief under Securities Act Rule 144A with respect to issuances by non-U.S. financial institutions of contingent convertible capital securities that are intended to raise regulatory capital for the institution. The relief was required, as the conversion price of the securities would not otherwise satisfy the conditions of Rule 144A(d)(3)(i). The Division granted relief on the basis of a number of conditions, including that: the contingent convertible securities would qualify as regulatory capital, and would be issued only for the purpose of