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FOR IMMEDIATE RELEASE           
           

NAIBD HOLDS EMERGENCY BOARD MEETING TO ADDRESS POTENTIAL MEMBER CONCERNS

Association Aims to Ensure Small and Independent Firms are Protected

PRINCETON JUNCTION, NJ – October 1, 2008 – In a special emergency meeting of its Board of Directors last night, the National Association of Independent Broker/Dealers (NAIBD) met to determine its course in response to current financial, market and economic conditions. 

NAIBD chairman Lisa Roth opened the meeting with the assertion, “Now is the time for NAIBD to intently monitor regulatory and legislative developments, and we must exert our influence to ensure that the small and independent firm interests are protected.” NAIBD president Stephen Distante added, “Our members represent Main Street off Wall Street. While our wirehouse colleagues are struggling to keep their firms afloat, we are holding the hands of investors.”

Recent FINRA statistics demonstrate that small and independent firms with 150 or fewer registered representatives comprise the overwhelming majority, or more than 75 percent, of registered U.S. broker/dealers. While little if any of the current financial crisis attributable to their actions, these firms stand to be driven out of business if legislators and regulators take broad sweeping action that does not take into account their limited size and resources. While legislators and regulators seek solutions to the crisis caused by lax regulatory controls over the country’s largest firms, the small and independent firm community burns the midnight oil calming the frayed nerves of our country’s most vulnerable investors.

NAIBD board directors discussed specific areas of member firm and investor concerns, including SIPC protection, margin calls, and financial and operational issues. Recognizing that legislators and regulators may overlook the positive and sustainable role of small and independent firms in this time of crisis, the board vowed to escalate these concerns to regulators and legislators through telephonic and personal meetings. Importantly, NAIBD directors made a commitment to monitor all proposals for amended regulation, to ensure that its members continuing business interests would be protected.

The directors of the NAIBD agreed that last minute adjustments would be made as necessary to ensure that topics at tomorrow’s upcoming symposium, (October 2, 2008; 9-5; NASDAQ MarketSite at Times Square, New York), would be tailored to address member concerns.

NAIBD was formed in 1979 by five southern California broker/dealers who met regularly to discuss areas of common interest such as due diligence, compliance and regulation. The organization is now national in scope with over 350 broker/dealer and industry associate members. Its members enjoy numerous benefits including educational meetings and symposiums held across the country, up-to-date compliance notices and commentary regarding regulatory changes, rebates and discounts from industry vendors and numerous networking opportunities.

For more information on NAIBD, please visit www.naibd.org or contact Stacy Flint at sflint@naibd.org.

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About the National Association for Independent Broker/Dealers (NAIBD)
Serving as a small and independent firm advocate for almost 30 years, the NAIBD and its board of directors work together with Independent Broker/Dealer owners & principals, industry product & service providers, and the SEC, NASD, and state’s regulatory organizations to improve the securities industry as a whole. Recognizing the specific needs of Independent Broker/Dealers (which make up over 85 percent of all US securities firms), the National Association of Independent Broker/Dealers provides specialized, widely acclaimed advocacy by hosting national informational meetings, catering specialized website programs, rapidly distributing critical regulatory details and product/service offers, supplying feedback to SEC, NASD, and state regulators, and offering its Annual Technology and Compliance Symposium event. For more information, please visit www.naibd.org.