The SEC adopted new Rule 13h-1 and Form 13H under Section 13(h) of the Securities Exchange Act of 1934, as amended, to assist the SEC in both identifying and obtaining trading information on market participants that conduct a substantial amount of trading activity, as measured by volume or market value, in the U.S. securities markets. Rule 13h-1 requires a "large trader," defined as a person whose transactions in NMS securities equal or exceed 2 million shares or $20 million during any calendar day, or 20 million shares or $200 million during any calendar month, to identify itself to the SEC and make certain disclosures to the SEC on Form 13H. Upon receipt of a Form 13H, the SEC will assign to the large trader an identification number, which the large trader must then provide to its registered broker-dealers. Such registered broker-dealers will be required to maintain records in connection with transactions effected through accounts of the large trader. In addition, the SEC is requiring broker-dealers to report large trader transaction information to the SEC upon request through the Electronic Blue Sheets systems currently used by broker-dealers for reporting trade information. Finally, certain registered broker-dealers subject to Rule 13h-1 will be required to perform limited monitoring of their customers' accounts for activity that may trigger the large trader identification requirements of Rule 13h-1

Sec. Act Rel. No. 34-64976 (July 27, 2011)