In April 2013, FINRA’s Board of Governors approved a proposal to publicly disseminate 144A transactions in TRACE-eligible securities for those asset types that are currently subject to dissemination.4 The decision is designed to help market participants determine the quality of their executions and help firms to comply with their regulatory obligations. As a next step, FINRA will submit a rule filing to the SEC for comment and approval. Currently, the TRACE system requires reporting of Rule 144A trades, but not their public dissemination. The FINRA rules that would be amended are FINRA Rule 6750 (Dissemination of Transaction Information) and FINRA Rule 7730 (Trade Reporting Compliance Engine (TRACE)).

Under the amended rules, it is expected that the same dissemination caps that apply to non-Rule 144A transactions in similar securities would be extended to Rule 144A securities. FINRA Rule 7730 also would be amended to establish a historic Rule 144A data set, and to extend the fees that are currently in effect for similar real-time disseminated data and historic TRACE data to the new Rule 144A data sets.