April 27, 1993
TO: BROKER/DEALER ADVISORY COMMITTEE NO. 15-93
NETWORKING PARTICIPANTS
RE: 1. NETWORKING AGREEMENT
2. "NO LIEN" ACKNOWLEDGEMENT LETTERS
__________________________________________________________
Enclosed for your information and use is a copy of the
standard NETWORKING Agreement along with a memorandum
transmitting the Agreement to the Institute's operations members.
The memorandum explains a number of non-substantive revisions to
the prior version of the Agreement that were suggested by
committee members and the National Securities Clearing
Corporation (NSCC) to clarify certain provisions. (A marked copy
of the Agreement showing these changes is also enclosed.) The
memorandum also notes that NETWORKING participants may now file
an executed copy of the Agreement with NSCC. NSCC has agreed to
accept executed copies of the Agreement and report to NETWORKING
participants the identity of funds and brokers who have signed
and filed the Agreement.
Also enclosed for your information is a memorandum to the
Institute's Operations members regarding a requirement of the New
York Stock Exchange that its members obtain letters from funds
acknowledging there are no liens against uncertificated mutual
fund shares carried by the broker/dealer for the account of
customers. The memorandum notes that a provision of the enclosed
standard NETWORKING Agreement may satisfy the acknowledgement
letter requirement.
We will keep you informed of significant developments.
Donald J. Boteler
Assistant Vice President -
Operations
Enclosures