National Association of Securities Dealers
Also found in: Dictionary, Acronyms.
Related to National Association of Securities Dealers: National Association of Securities Dealers Automated Quotations, NASD, Securities and Exchange Commission, Financial Industry Regulatory Authority, FINRA
National Association of Securities Dealers (NASD)
Nonprofit organization formed under the joint sponsorship of the investment bankers' conference and the SEC to comply with the Maloney Act, which provides for the regulation of the OTC market.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
Financial Industry Regulatory Authority
A self-regulatory organization that assists the SEC in regulating financial markets, notably exchanges and companies that deal with securities. Among other duties, FINRA enforces rules, arbitrates disputes, and provides training and licensing services. Contrary to the belief of some, it is not a government agency. It was created in 2007 with the merger of the National Association of Securities Dealers and the NYSE regulatory board.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
National Association of Securities Dealers (NASD)
An association of over-the-counter brokers and dealers that establishes legal and ethical standards of conduct for its members. NASD was established in 1939 to regulate the OTC market in much the same manner as organized exchanges monitor actions of their members. One major advantage to membership is that members sell securities at wholesale to other members but at retail to nonmembers. See also Rules of Fair Practice, Uniform Practice Code.
Inappropriate actions by a broker should be reported to the office manager. If nothing is done to solve the problem, a complaint can be filed with the firm's compliance department or the National Association of Securities Dealers. Information about filing a complaint with NASD can be found on the organization's website, www.nasdr.com.
George Riles, First Vice President and Resident Manager, Merrill Lynch, Albany, GAWall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.