Securities/Commodities: SEC Announces Temporary Rule Requiring Registration of Municipal Advisors

On September 2, the Securities and Exchange Cmomission announced that it "has adopted a temporary rule requiring municipal advisors to register with the SEC by October 1." The SEC stated that this deadline "was established by the newly-enacted Dodd-Frank Wall Street Reform and Consumer Protection Act." Subject to certain exemptions, Dodd-Frank defines "municipal advisors" -- who provide advice to state and local governments and other borrowers involved in the issuance of municipal securities and solicit business from a state or local government for a third party -- to include "financial advisors, guaranteed investment contract brokers, third-party marketers, placement agents, solicitors, finders, and certain swap advisors that provide municipal advisory services." Municipal advisors may register online with the SEC.