The SEC approved a FINRA proposal requiring member firms to disclose the mark-up or mark-down on retail customer confirmations for most transactions in corporate and agency debt securities. The rule requires that if a firm sells or buys a corporate or agency fixed-income security to or from a retail customer and, on the same day, buys or sells the same security as principal from another party in an equal or greater amount, the firm must disclose its mark-up or mark-down from the prevailing market price for that security. The confirmation would also have to include the execution time and a reference to trade-price data in the security from FINRA's Trade Reporting and Compliance Engine (TRACE).
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