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FINRA sweep targets foreign small-cap offerings

Man walking past the FINRA building
Photo: ablokhin/Getty Images

The information requests focus on policies, procedures, training, and surveillance controls around small-cap offerings and trading.

FINRA has launched a targeted exam into how broker-dealers handle public and private offerings of small-capitalized exchange-listed issuers (IPOs that raise $25m or less and are priced between $4.00 and $8.00) with business operations in foreign jurisdictions.

The sweep requires selected firms that took part in multiple foreign small-cap offerings (as underwriter,