Which entities enforce MSRB rules for broker-dealers?

• A. The Securities and Exchange Commission and FINRA
• B. The Office of the Comptroller of Currency and the Federal Deposit Insurance Corporation
• C. The Federal Reserve Board and the Federal Deposit Insurance Corporation
• D. The Municipal Securities Rulemaking Board

Answer: (A)

Enforcement of MSRB rules for broker-dealers is handled by the Securities and Exchange Commission (SEC) and FINRA. The MSRB writes and oversees the rules, but it does not enforce them itself; enforcement rests with the SEC and the self-regulatory organization FINRA, which is responsible for supervising broker-dealers. The other entities listed regulate different parts of the financial system—OCC and FDIC oversee banks and credit unions, and the Federal Reserve Board focuses on broader monetary and banking supervision—so they don’t enforce MSRB rules for broker-dealers.