BRADENTON, Fla. — Two large issuers in Broward County, Fla., changed procurement policies recently to seek only independent non-dealer financial advisors but altered course after receiving protests from First Southwest Co.

The 2011 adoption of Municipal Securities Rulemaking Board rule G-23, prohibiting dealer-financial advisers from switching roles and becoming underwriters in the same muni transactions, has drawn attention to a practice that is now recognized for having the potential to create conflicts of interest.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.