FINRA is publishing this Notice to assist firms with making accurate submissions in connection with requests for Federal Reserve Board Regulation T, SEA Rule 15c3-3 and FINRA Rule 4210 extensions of time around holidays when exchanges or banks are closed. The schedule included in this Notice specifies the due dates for filing requests of extensions of time prior to and after a holiday when the exchanges or banks are closed in 2021.
Questions regarding this Notice may be directed to Theresa Reynolds, Senior Credit Regulation Coordinator at (646) 315-8567 or by email.
FINRA Rule 4230(a) requires clearing firms for which FINRA is the designated examining authority pursuant to SEA Rule 17d-1, to submit requests for extensions of time as contemplated by Regulation T of the Board of Governors of the Federal Reserve System1 (“Regulation T”) and SEA Rule 15c3-3(n)2 to FINRA for approval. Firms are also required to file with FINRA their request for extensions of time to satisfy margin deficiencies pursuant to FINRA Rule 4210.3 FINRA has implemented an automated system for the receipt and processing of such extension of time requests (the REX system). When incorrect dates are submitted in connection with an extension request, the REX system may deny the request, resulting in firms having to resubmit the request with corrected dates. To assist firms in determining the correct filing dates around holidays, FINRA is providing the schedule below. Firms should use the dates noted in this schedule when requesting extensions of time on dates prior to and after any holiday during which exchanges, or banks are closed in 2021.
Holiday calendar for Regulation T, SEA Rule 15c3-3, and extension requests under FINRA Rule 4210(f)(6) and FINRA 4210(g)(10)(D) filed via the FINRA REX system excluding Columbus Day and Veterans Day
|Market Closed on below Holidays:||Trade Date (or Deficiency Date, for Rule 4210 Extensions)||Settlement Date||Regulation T Extension Due Date||SEA Rule 15c3-3(m) Extension Due Date||Rule 4210 (f)(6) Extension Due Date||Rule 4210(g)(10)(D) Extension Due Date|
|January 1, 2021 – New Year’s Day||28-Dec||30-Dec||4-Jan||14-Jan||20-Jan||31-Dec|
|January 18, 2021 – Martin Luther King, Jr. Day||12-Jan||14-Jan||19-Jan||29-Jan||3-Feb||15-Jan|
|February 15, 2021 – Presidents’ Day||9-Feb||11-Feb||16-Feb||26-Feb||3-Mar||12-Feb|
|April 2, 2021 –Good Friday||29-Mar||31-Mar||5-Mar||15-Mar||20-Mar||1-Apr|
|May 31, 2021 – Memorial Day||25-May||27-May||1-Jun||9-Jun||16-Jun||28-May|
|July 5, 2021 – Independence Day||29-Jun||1-Jul||6-Jul||16-Jul||21-Jul||2-Jul|
|September 6, 2021 – Labor Day||31-Aug||2-Sep||7-Sep||17-Sep||22-Sep||3-Sep|
|November 25, 2021 –Thanksgiving||19-Nov||23-Nov||26-Nov||8-Dec||13-Dec||24-Nov|
|December 24, 2021 – Christmas||20-Dec||22-Dec||27-Dec||6-Jan-22||11-Jan-22||23-Dec|
Holiday calendar for Regulation T, SEA Rule 15c3-3, and extension requests under FINRA Rule 4210(f)(6) and FINRA 4210(g)(10)(D) filed via the FINRA REX system for Columbus Day and Veterans Day
The securities exchanges will be open for trading on Columbus and Veterans Day. Therefore, each day is considered a business day under Regulation T of the Federal Reserve Board, SEA Rule 15c3-3 and FINRA Rule 4210. However, please note that neither Columbus nor Veterans Day is a settlement date because banking institutions will be closed on those days.
|Banks Closed on below Holidays:||Trade Date (or Deficiency Date, for Rule 4210 Extensions)||Settlement Date||Regulation T Extension Due Date||SEA Rule 15c3-3(m) Extension Due Date||Rule 4210 (f)(6) Extension Due Date||Rule 4210(g)(10)(D) Extension Due Date|
|October 11, 2021 – Columbus Day||5-Oct||7-Oct||11-Oct||21-Oct||26-Oct||8-Oct|
|November 11, 2021 – Veterans Day||5-Nov||9-Nov||11-Nov||23-Nov||29-Nov||10-Nov|
- As specified in Sections 220.4(d) and 220.8(b)(4) of Regulation T of the Federal Reserve Board, a broker-dealer must promptly cancel or otherwise liquidate a customer purchase transaction in a margin account or cash account if payment is not received within one payment period from the date of purchase or, pursuant to Section 220.4(c)(3) and 220.8(d)(1), apply to extend the time period specified. A payment period is defined in Regulation T to mean the number of business days in the standard securities settlement cycle in the United States, as defined in paragraph (a) of SEA Rule 15c6–1 (17 CFR 240.15c6–1(a)), plus two business days). The date by which firms must take action for “regular way” transactions effected on dates prior to and after a holiday when exchanges are closed is shown in the table under the column “Regulation T Extension Due Date.”
All SEA Rule 15c3-3 extension requests must be received on the due dates listed below.
(d)(2) – on the 30th calendar day after settlement date
(d)(3) – on the 45th calendar day after settlement date
(d)(4) – on the 2nd business day after the 30th calendar day from the date the segregation deficit occurred
(h) – on the 45th calendar day after settlement date
(m) – on the 10th business day after settlement date
These dates also apply to any securities traded on a foreign exchange. Firms must file SEA Rule 15c3-3 extensions on the appropriate dates regardless of the settlement cycle established by the foreign security market on which the security is traded.
- SEA Rule15c3-3 requires firms to take prompt steps to obtain possession or control of securities pursuant to paragraph (m) through a buy-in procedure or otherwise, if securities are not received within ten business days from the settlement date of the sale, or, pursuant to paragraph (n), apply to extend the time period specified therein. The date by which firms must take such action for “regular way” transactions effected on dates prior to and after a holiday when exchanges are closed is shown in the table under the column “SEA Rule 15c3-3(m) Extension Due Date.”
- See FINRA Rule 4210(f)(6) and (g)(10)(D).