Simpson Thacher Authors Comment Letter Advocating for Amendments to FINRA Communications with the Public Rule
Simpson Thacher recently submitted a Comment Letter in support of proposed amendments to the Financial Industry Regulatory Authority (FINRA) Rule 2210 (Communications with the Public). Proposed on February 25, 2026, the amendments to Rule 2210 would allow for broker-dealers to include projected performance and targeted returns in communications with the public, subject to certain conditions. The Firm’s Comment Letter commends the proposed amendments and notes they are an important step to better align the requirements for FINRA members and investment advisers when presenting performance projections in written communications to investors, particularly when it comes to promoting consistency with marketing material disclosures and requirements under the Rule 206(4)-1 of the Investment Advisers Act of 1940 (“IA Marketing Rule”). The Comment Letter also asserts that FINRA should consider taking further steps beyond the proposed amendments to better conform Rule 2210 with the IA Marketing Rule, including: 1) withdrawing FINRA FAQs D.6.2 and D.6.3 regarding Rule 2210; 2) aligning the treatment of related performance with the IA Marketing Rule; and 3) aligning the treatment of portfolio or investment characteristics under Rule 2210 with the IA Marketing Rule. The public comment period concluded on March 18, 2026.
The letter was primarily drafted by Partners David Blass and Meredith Abrams, and Associate Joshua Kim.
To read the full letter, please click here.