Extension to Implement FINRA Rule 4240

Financial Industry Regulatory Authority, Inc. (“FINRA”) is filing with the Securities and Exchange Commission (“SEC” or “Commission”) a proposed rule change to amend FINRA Rule 4240 (Margin Requirements for Credit Default Swaps) to extend to July 18, 2018 the implementation of FINRA Rule 4240. FINRA Rule 4240 implements an interim pilot program with respect to margin requirements for certain transactions in credit default swaps that are security-based swaps.  In light of the continuing development of the CDS business and ongoing regulatory developments, FINRA is considering proposing additional amendments to the Interim Pilot Program.