On August 13, 2015, the Securities and Exchange Commission issued a cease-and-desist order against Edward D. Jones & Co., L.P., in response to alleged improper trading practices by the St. Louis-based broker-dealer. The SEC alleged that Edward Jones violated Sections 17(a)(2) and (3) of the Securities Act of 1933 and various rules of the Municipal Securities Rulemaking Board in certain negotiated municipal bond offerings in which the firm acted as co-managing underwriter between February 2009 and December 2012. Edward Jones consented to the order without admitting or denying the SEC’s allegations. The SEC order is available here. The alleged improper trading practices, resulting sanctions and fines and relevant legal issues are summarized in this alert.
Client Alert