FINRA Will Implement New System for Public Offering Reviews
FINRA has announced that it will implement a
new filing system to replace the COBRADesk for public offerings required to be
filed under Rule 5110. The Rule requires
the filing of offering documents and FINRA approval before commencing a public
offering. Although the Rule does not
apply to open-end funds or private funds, it does apply to publicly-offered
closed-end funds and BDCs. According to
FINRA, the new system will include an online filing cabinet including a keyword
search function and an historical listing of documents. The new system goes into effect on June 20.
Let’s hope the new system expedites FINRA review, which has become a
significant issue for publicly-offered closed-end funds.