The Financial Industry Regulatory Authority is developing a machine-readable rulebook to allow quick access to 40 of its most popularly searched rules.
FINRA's machine-readable rulebook initiative "is designed to enhance firms' compliance efforts, reduce costs, and aid in risk management by making the rulebook more easily accessible and by facilitating efforts to automate compliance functions," FINRA said. "These improvements can, in turn, support investor protection and market integrity."
The rulebook, according to FINRA, includes an embedded taxonomy — a method of classifying and categorizing a hierarchy of key terms and concepts — that has been applied to the 40 rules.
"Specifically, we applied, or 'tagged,' the taxonomy terms" that were developed to the 40 rules, FINRA said.
FINRA announced that it has also created a prototype of a rulebook search tool — the FINRA Rulebook Search Tool, or FIRST.
