SIFMA has commented on the proposed rule filed with the SEC by NYSE Arca regarding the extension of the Penny Trading Program ("Pilot") to December 31, 2013. SIFMA commented in support of the proposed change, stating that it would prevent possible investor confusion if the Pilot were to expire before the permanent program was approved. Additionally, SIFMA recommends consistent filings by Arca and other options exchanges to make the Pilot permanent. See: SIFMA Comment Letter.

The SEC charged UBS Securities with violating securities laws by failing to disclose fees that it had received in connection with the marketing of a CDO - fees that the SEC said rightfully belonged to investors. See: Litigation Press Release.

The MSRB has proposed a rule consolidating MSRB Rule G-18 ("Execution of Transactions") and Rule G-30 ("Prices and Commissions"). The proposed rule would also streamline existing guidance currently set forth in MSRB Rule G-17 ("Conduct of Municipal Securities and Municipal Advisory Activities"), maintaining the substance of previous rules but centralizing them under one heading. The MSRB requests comments no later than September 20, 2013, focusing on burdens and benefits of the consolidation. See: MSRB Notice 2013-15.

The MSRB seeks public comment on whether to require a broker, dealer, or municipal securities dealer to seek "best execution" of customer orders for municipal securities. The proposed rule would augment the existing requirements to trade at fair and reasonable prices. In addition, the MSRB is interested in commentary that could provide detailed guidance to dealers on how "best execution" concepts would be applied to municipal securities transactions. Comments should be submitted no later than October 7, 2013. See: MSRB Notice 2013-16. See also: SIFMA Proposes "Execution with Diligence"

CFTC Commissioner Bart Chilton delivered a speech urging the Fed to reverse its policy of allowing banks to own physical commodities. Chilton stated that he wrote to Chairman Ben Bernanke urging him to rewrite the Volcker Rule in a "precise and surefooted fashion." Chilton explained he believes that banks owning physical commodities could render the Volcker Rule useless by obscuring "business risk." Commissioner Chilton suggested that banks should get back to banking. Lofchie Comment:One of the problems that Dodd-Frank creates is too many regulators with confused and overlapping jurisdictions