MSRB Asks SEC to Expand Public Information on ARS, VRDOs

MSRB Executive Director Lynnette Kelly Hotchkiss said in a statement that MSRB was “moving forward with our plan to put this information into the hands of investors.” Making bidding information available for auction rate securities, she continued, “allows investors to better understand liquidity and depth of the market. Liquidity facility documents provide key information about the support available for variable rate securities. Together this data will provide unparalleled transparency to the municipal market.”

According to the MSRB, sellers would also be required to report to EMMA in a consistent fashion, “auction rate securities (ARS) bidding information–including data on whether an auction succeeds through market bids or through dealer support–as well as documents defining interest rate setting mechanisms and auction procedures.” All information provided by dealers, MSRB said, would be made available on the EMMA Web site, which already provides free public access to interest rate information for VRDOs and ARS.