Sen. Warren introduces bill targeting unpaid Finra arbitration awards

March 7, 2018 by Mark Schoeff Jr.

[Correction: Finra chief executive Robert W. Cook testified before a House Financial Services subcommittee in September 2017, not before the Senate Banking Committee meeting of last year referenced in this story. He was not present at that meeting.]

Sen. Elizabeth Warren, D-Mass., introduced legislation Tuesday that would require Finra to create a fund to cover unpaid arbitration awards.

Under Ms. Warren’s bill, the broker-dealer self-regulator would draw from the fines it assesses on member firms for violating Finra rules to establish a pool of money to cover arbitration shortfalls.

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Originally Posted at InvestmentNews on March 6, 2018 by Mark Schoeff Jr..