💰Amendments to CAT NMS Plan Affecting Customer Data Reporting
Joint Industry Plan; Notice of Filing of Amendment No. 1, and Order Instituting Proceedings To Determine Whether To Approve or Disapprove an Amendment to the National Market System Plan Governing the Consolidated Audit Trail, as Modified by Amendment No. 1, Regarding the Customer and Account Information System
Summary
The SEC has published a notice regarding the filing of an amendment to the National Market System Plan governing the Consolidated Audit Trail (CAT), proposing to reduce the customer information required for reporting. The amendment aims to enhance data privacy while generating significant cost savings for the involved parties. This proposal introduces substantial changes to data handling and compliance for industry members, alongside comments from various stakeholders.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The regulation involves amendments to compliance requirements relative to sensitive customer information under the CAT system, likely impacting operational costs and data processing obligations for industry members. The expected cost savings of $7-$9 million indicate a significant financial incentive for businesses involved in trading and data reporting.