Washington

Standard and Poor's has told issuers of municipal bonds this week that the rating agency expects borrowers seeking a rating to disclose all debt-like obligations, including increasingly-popular bank loans.

The Municipal Securities Rulemaking Board released three new educational videos explaining what investors should expect from their brokers when buying or selling municipal securities.

Dealer groups said Tuesday that they support Municipal Securities Rulemaking Board proposed rule changes on retail order periods, but non-dealer financial advisors warn issuers can be exploited, with underwriters simply determining for them which "retail" investors can buy the bonds in offerings.

The Municipal Securities Rulemaking Board filed rule changes with the Securities and Exchange Commission on Monday that are designed to ensure underwriters follow issuers' orders that a certain amount of their bonds be offered to retail investors at the initial offering price.

Two broker dealers were fined a total of $62,500 for municipal bond fair pricing and trade reporting violations, while two individuals were fined $35,000 and suspended for violating other muni rules, the Financial Industry Regulatory Authority said Monday.

The National Federation of Municipal Analysts is working on several new issue and disclosure initiatives geared to helping issuers navigate debt transactions.

The Municipal Securities Rulemaking Board is urging investors and dealers to examine the redemption provisions of Build America Bonds and other direct-pay bonds so they can determine if the bonds' market value could be affected by a redemption stemming from a sequestration-mandated cut in subsidy payments to the issuer.

Dealers generally like the Municipal Securities Rulemaking Board's proposed rules governing sophisticated municipal market professionals, which need less protection than retail investors, but are seeking some clarifications and suggesting the rules expanded to cover small hedge funds.

The Municipal Securities Rulemaking Board announced Wednesday that it has added an experienced securities lawyer, Michael L. Post, to its roster as a deputy general counsel.

The Government Finance Officers Association is developing a new best practice paper on bank loan issues following the recent industry report about bank loan disclosures.