The Financial Industry Regulatory Authority proposed new rules to exempt its members from having to obtain approvals prior to posting communication on their social media networks. In the proposal submitted to the Securities and Exchange Commission, FINRA said the exemptions are granted to members provided that they are watching the communication materials in the same manner as other correspondence as outlined in NASD rule 3010(d).
The agency listed two supervisory exemptions for social media communication. The first exemption applies to retail communication on social media networks and another exemption addresses retail communication that precludes financial forecasts and promotion of products or services.
