Federal Register #2026-08993

SEC Proposed Amendments to MSRB Rule G-20 on Gifts and Gratuities

This notice from the Securities and Exchange Commission (SEC) details proposed amendments to MSRB Rule G-20, affecting gift and gratuity practices for regulated financial entities. - Government Buyer: - Securities and Exchange Commission (SEC) - Municipal Securities Rulemaking Board (MSRB) - OEMs and Vendors: - MSRB (regulatory body) - FINRA (Financial Industry Regulatory Authority) - Products/Services Requested: - No physical products or services requested; this is a regulatory rule change - Notable Requirements: - Gift limit increased from $100 to $300 per person per year - Harmonization of MSRB Rule G-20 with FINRA Rule 3220 - Clarification of regulatory obligations for brokers, dealers, municipal securities dealers, and municipal advisors - Revised valuation and aggregation requirements for gifts - Codification of exceptions for certain gifts - Enhanced supervision and recordkeeping requirements for regulated entities - Addresses gifts incidental to normal business dealings

Description

This notice announces a proposed rule change filed by the Municipal Securities Rulemaking Board (MSRB) with the Securities and Exchange Commission (SEC). The proposed amendments to MSRB Rule G-20 aim to revise the MSRB's gift and gratuities requirements to align with recent amendments to FINRA Rule 3220. Key changes include increasing the gift limit from $100 to $300 per person per year, clarifying regulatory obligations, addressing gifts incidental to normal business dealings, revising valuation and aggregation requirements, codifying exceptions, and establishing additional supervision and recordkeeping requirements. The rule change is intended to enhance clarity and consistency without reducing investor protection, with an operative date of June 1, 2026, for FINRA member dealers and December 1, 2026, for municipal advisors and non-FINRA member dealers.

View original listing