Corporate & Financial Weekly Digest

Latest from Corporate & Financial Weekly Digest

The Financial Industry Regulatory Authority (FINRA) has updated its FAQs regarding coronavirus-related regulatory relief to address: situations in which a member firm is unable, as required by FINRA Rule 3110(e), to verify some of the information in an initial or transfer Form U4 due to the COVID-19 outbreak; the extension of expiring qualification examination windows until June 30, 2020, including for individuals who were designated to function as Operations Professionals under Rule 1220(b)(3)(B) or as…
On May 28, the Commodity Futures Trading Commission (CFTC) held an open meeting to consider staff recommendations regarding amendments to two CFTC regulations. Both recommendations were approved by a unanimous 5-0 vote. Neither staff document is currently available. Exemption from registration for certain non-US pool operators. The CFTC approved for publication a proposal to amend Regulation 3.10(c)(3) to provide an exemption from registration for foreign persons acting as commodity pool operators (CPOs) on behalf of…
On May 22, the Commodity Futures Trading Commission issued a Customer Advisory addressing the unique risks associated with certain trading vehicles that use futures contracts or other commodity interests. The CFTC noted that recent market volatility arising from the COVID-19 pandemic has led many investors to purchase shares of trading vehicles that use futures contracts or other commodity interests. It cautioned that, while certain trading vehicles using futures contracts or other commodity interests may be…
On May 18, the European Securities and Markets Authority (ESMA) published a statement regarding the non-renewal and termination of the short selling bans imposed by certain EU financial regulators (the Statement). As a result of the impact of the COVID-19 pandemic on EU financial markets, the Austrian Finanzmarktaufsicht (FMA), the Belgian Financial Securities and Markets Authority (FSMA), the French Autorité des Marchés Financiers (AMF), the Greek Hellenic Capital Market Commission (HCMC), the Spanish Comisión Nacional…
On May 14, the Securities and Exchange Commission announced the adoption and immediate effectiveness of Section 312.03T of the NYSE Listed Company Manual. Recognizing that existing exceptions to the shareholder approval requirements in the NYSE Listed Company Manual are “not helpful in most situations arising from the COVID-19 pandemic,” Section 312.03T provides a temporary exception to shareholder approval requirements applicable to certain issuances of equity securities (or convertible or other securities that may result in…
On May 8, the Financial Industry Regulatory Authority (FINRA) filed with the Securities and Exchange Commission proposed amendments to various FINRA Rules to provide FINRA with temporary relief from certain timing, method of service and other procedural requirements during the period in which FINRA’s operations are impacted by the COVID-19 outbreak in order to protect the health and safety of its employees. Such amendments, among other things, allow FINRA to serve certain documents electronically and…
To address the latest COVID-19 developments and the impact on the derivatives industry, National Futures Association (NFA) is hosting a webinar focused on NFA’s current operations, regulatory approach and relief issued. The webinar is scheduled for May 27, 2020 at 9:30 a.m. CT. The webinar is free, but registration is required. The webinar’s registration page is available here.…
On May 13, the UK’s Financial Conduct Authority (FCA) and the UK’s Prudential Regulation Authority (PRA) announced that they will resume full supervisory engagement with dual regulated firms on their London Interbank Offered Rate (LIBOR) transition progress from June 1, 2020 (the Announcement). Such engagement will include data reporting at the end of Q2 in light of the PRA and FCA suspended transition data reporting at the end of Q1 for dual regulated firms and…
On May 4, the Securities and Exchange Commission’s  Division of Corporation Finance (the Division) issued four frequently asked questions (FAQs) related to the SEC’s conditional relief order (the Order) that was issued in the wake of the Coronavirus Disease 2019 (COVID-19). As detailed in the March 27, 2020 edition of the Corporate & Financial Weekly Digest, the Order gives publicly traded companies an additional 45 days to file certain reports, including most periodic or…
As previously discussed in our March 26 advisory titled, “Virtual Shareholder Meetings in the Wake of COVID-19: Legal and Practical Considerations,” the Securities and Exchange Commission issued guidance to public companies on providing notice of a change to a virtual shareholder meeting in the wake of the coronavirus (COVID-19) pandemic. On April 7, Delaware Governor John Carney issued an order that permitted public companies that had already provided notice of in-person shareholder meetings…