MSRB Assumes Expanded Mandate and Establishes Public Majority Board of Directors

ALEXANDRIA, Va., Oct. 1 /PRNewswire-USNewswire/ -- The Municipal Securities Rulemaking Board (MSRB) today begins its expanded regulatory authority over key municipal market participants and, in conjunction with this broader mandate, has established a majority-public governing board of directors with new members for the fiscal year that begins today.

Consistent with the provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), the MSRB's mission now includes the protection of state and local government entities and others whose credit stands behind municipal bonds. The MSRB oversees municipal advisors that provide advice to these entities on a range of municipal securities or investment-related matters and that solicit certain business from these entities on behalf of others. This oversight is in addition to the MSRB's existing regulation of banks and securities firms that engage in municipal securities business.

Also effective today, the MSRB is governed by a board of directors consisting of a majority of independent public members. The new board of directors includes representatives of investors and state and local government entities, as well as representatives of entities regulated by the MSRB, which include banks, broker-dealers and municipal advisors.

Eleven new MSRB members—eight representing the public and three representing municipal advisors—today join the three existing public members and seven existing broker-dealer and bank members of the MSRB board of directors.

Selected from a candidate pool of nearly 150 people, the new MSRB members were nominated by the MSRB's Nominating Committee, with the unanimous ratification of all nominees by the public members of the Committee. The MSRB has made publicly available a list of Nominating Committee members as well as a list of MSRB candidates considered by the Committee.

The Municipal Securities Rulemaking Board (MSRB) protects investors, state and local government entities, and others whose credit stands behind municipal bonds by promoting a fair and efficient municipal market. To accomplish this mission, the MSRB regulates securities firms and banks that underwrite, trade and sell municipal securities, and oversees municipal advisors that provide advice and services to municipal governments on financial products and securities. As part of its mission-driven activities, the MSRB operates the Electronic Municipal Market Access (EMMA) website to promote transparency and widespread access to information, provides education and conducts extensive outreach. The MSRB's governing board is composed of a majority of independent public members in addition to professionals representing regulated market participants. The MSRB has operated under Congressional mandate with oversight by the Securities and Exchange Commission since 1975.

SOURCE Municipal Securities Rulemaking Board (MSRB)