New York, NY, February 19, 2019 – SIFMA today issued two new model placement agent engagement agreements, along with related commentary. One of the agreements covers conduit bonds and the second covers non-conduit bonds.
“These new agreements add to SIFMA’s suite of model and master agreements that aid our member firms and others in the marketplace by reducing compliance risk and legal costs and increasing regulatory certainty,” said Leslie Norwood, managing director, associate general counsel and co-head of SIFMA’s Municipal Division.
The two new agreements are intended for use by brokers, dealers, and municipal securities dealers acting as a placement agent. Federal securities laws require a broker dealer to have an adequate and reasonable basis for recommending a security to an investor. Use of these agreements will assist broker dealers in ensuring their compliance with federal securities laws.