MSRB Monthly Update - November 2013

MSRB Monthly Update - November 2013
Upcoming Event

The MSRB will host an education and outreach event on the municipal securities market on December 5, 2013 in Livonia, Michigan. Learn more.

Centered Blue Register Button
Coming Soon Final
Video Icon

The MSRB will soon release a short video that explains the roles of key participants involved when state or local governments issue bonds.

The MSRB will also soon publish Participating in the Rulemaking Process: A Guide for Municipal Advisors. This resource explains the various ways municipal advisors can submit input on the MSRB's rulemaking initiatives.

Did you know

MSRB email updates are a great way to stay up-to-date on the MSRB's activities and initiatives. Sign up to receive email updates.

Highlight of the Month

MSRB State and Local Government Outreach

The MSRB is increasing outreach to state and local governments that issue municipal securities. The effort aims to share with municipal entities how the MSRB’s Electronic Municipal Market Access (EMMA®) website is a resource for evaluating municipal finance options, complying with disclosure requirements and communicating with investors. Through a combination of live and internet-based events, including seminars, webinars and live webcast presentations, the MSRB will provide practical guidance and tips. Learn more.

Expanded outreach campaign

New and Noteworthy

MSRB Prioritizes Five Municipal Advisor Rules

During its recent quarterly meeting, held October 23-25, 2013, the MSRB Board of Directors agreed to proceed with the development of a regulatory framework for municipal advisors that prioritizes five rules aimed at protecting municipal entities and investors. They are:

  1. Fiduciary duty and fair dealing standards of conduct of municipal advisors to municipal entities and obligated persons
  2. Supervision requirements for municipal advisory firms and their employees
  3. Rules to address the potential for pay-to-play activities by municipal advisors
  4. Limitations on gifts and gratuities to employees of municipal securities issuers and other market participants
  5. Duties of solicitors

At its meeting, the Board also agreed to develop and publish for public comment a “best execution” rule for the municipal market, among other decisions affecting municipal market transparency and integrity.

Read the full meeting summary.


Municipal Advisor Education Materials Update

The MSRB recently published an educational resource to help newly registered municipal advisors prepare for regulatory oversight. Preparing for Regulation: A Guide for Municipal Advisors provides information in an easy-to-read checklist format about the importance of registration, the role of the MSRB and what it means to be regulated by a self-regulatory organization. Additional resources for municipal advisors will be periodically added to the MSRB's website.



EMMA Market Statistics

Trading of Municipal Variable Rate Securities Continues to Decrease

Q3 Stats

Variable rate securities no longer account for over half of all par amount traded and nearly 15 percent of all trades, as they did in 2008. During the third quarter of 2013, variable rate securities accounted for 31 percent, or $254 billion, of the par amount traded and 2 percent, or 49,222 trades, of the overall number of trades. Compared to the third quarter of 2012, trading of variable rate securities decreased 13 percent in terms of par amount traded and 3 percent in terms of the number of trades.

For all municipal market statistics for the third quarter of 2013, visit the MSRB’s website.


Help Improve EMMA®

The MSRB is seeking input from users of EMMA on how they use the site and what features work for them, and to assess the value of potential changes. Sign up to participate.