The U.S. Financial Industry Regulatory Authority may require brokerage firms to carry insurance to cover the payment of arbitration awards to investors, the Wall Street Journal reported on Saturday. FINRA, Wall Street’s industry-funded watchdog, will consider whether brokerage firms should be required to have “errors and omissions” insurance, which can cover legal claims, said Susan Axelrod, FINRA’s executive vice president of regulatory operations, according to the newspaper. More on Reuters here.
