The Municipal Securities Rulemaking Board ("MSRB") has issued interpretive guidance on the responsibilities of brokers, dealers and municipal securities dealers with respect to the marketing of 529 college savings plans through employer payroll deduction programs. The draft is open to a 60 public comment period.

The issues covered by the draft revolve around the issue of suitability in cases in which the introducing broker may not even learn of an employee's enrollment in a 529 plan until after the initial contribution is made to the plan.

The full text of the proposal is located at http://ww1.msrb.org/msrb1/whatsnew/Workplace529Interp_11-02.htm.  

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