February 14, 1989
TO: INVESTMENT ADVISER MEMBERS NO. 11-89
INVESTMENT ADVISER ASSOCIATE MEMBERS NO. 10-89
RE: NASD RULE CONCERNING BONA FIDE RESEARCH APPROVED BY SEC
__________________________________________________________
As we have previously informed you, the SEC adopted a
revised standard as to what constitutes bona fide research under
Section 28(e) of the Securities Exchange Act of 1934. (See
Memorandum to Investment Adviser Members No. 14-86 and Investment
Adviser Associate Members No. 15-86, dated April 29, 1986.)
In the attached release, the SEC approved a proposed rule
change by the National Association of Securities Dealers, Inc.
(NASD) concerning Section 28(e) of the Securities Exchange Act of
1934. The new NASD rule is now consistent with the SEC revised
standard concerning bona fide research as contained in the SEC's
1986 release.
Robert L. Bunnen, Jr.
Assistant General Counsel
Attachment