History & Background

SEC 10c-1a: History and Background

Status: TO BE REVIEWED Last Updated: 14 Apr 2025

Dodd Frank Wall Street Reform and Consumer Protection Act:

Initial Dodd Frank Wall Street Reform and Consumer Protection Act requirement:

• Public Law 111 – 203 – Dodd-Frank Wall Street Reform and Consumer Protection Act – Content Details –

The Dodd-Frank Wall Street Reform and Consumer Protection Act, specifically Section 984(b), mandates increased transparency in the securities lending market.

This requirement involves the reporting of material terms of securities lending transactions and related information to a registered national securities association (RNSA).

The goal is to enhance the transparency and efficiency of the securities lending market by making certain transaction details and aggregate information publicly available.

SEC Adopted 10c-1a Rule:

The Securities and Exchange Commission ("SEC") has adopted Rule 10c-1a under the Securities Exchange Act of 1934 ("Exchange Act") requiring for the first time the reporting of securities loans to and providing for the public dissemination of loan information by the Financial Industry Regulatory Authority ("FINRA"). FINRA exercised this authority by proposing rules to create and implement the Securities Lending and Transparency Engine ("SLATE"). On January 2, 2025, the SEC approved FINRA’s new Rule 6500 Series to implement SLATE as amended by FINRA after considering a variety of commentator objections and suggestions ("Approval Order"). A few weeks later, on January 24, 2025, FINRA’s president and CEO, Robert Cook, posted a blog on FINRA’s Media Center stating that FINRA staff will be seeking an extension of the January 2, 2026, implementation deadline for SLATE (the "Blog Post"). The Blog Post also noted that FINRA "will be asking the SEC to consider revisiting certain operational requirements under Rule 10c-1a in light of what has been learned since the Rule’s adoption." Cook specifically mentioned that "testing and launching a significant new reporting system that is heavily technology dependent at the turn of the calendar year could present unnecessary risks and challenges for the orderly rollout of the system" and the need to "consider whether adjustments to the data dissemination requirements are appropriate to avoid unintended consequences arising from such dissemination."

As a result, the reporting and public dissemination of securities loans continues to be an area where significant developments should be expected over the next year and beyond.

FINRA has taken two significant additional steps in implementing SLATE:

• Published SLATE Participant Reporting Specifications ("Specs"); and

• Filed a rule change with the SEC to set forth in FINRA Rule 7720 securities loan reporting fees and securities loan data products and associated fees.

High Level Key Dates:

1. Adoption 13 Oct 2023

2. Publication 03 Nov 2023

3. Effective Date 02 Jan 2024 (this is 60 days after publication date within the Federal Register)

4. RNSA Propose Rules 4months after effective date 02 May 2024

5. Rules effective 12 months after the effective date 02 Jan 2025

6. Covered Persons report 24 months after effective date 02 Jan 2026

7. RNSA make information publicly available 90 calendar days after reporting date 02 Apr 2026

Release of proposed Rule Changes:

1. Release 34-98737 (Oct. 13, 2023), 88 FR 75644, 2023-23052 (adoption of Rule 10c-1a). The SEC noted that the rule has been challenged in the U.S. Court of Appeals for the 5th Circuit, but that action "does not challenge the compliance date(s) set forth [in Rule 10c-1a] or the need for affected parties to comply with Rule 10c-1a." Approval Order, 90 FR at 1585. Oral argument was held on October 7, 2024.

2. Release 34-100046 (May 1, 2023), 89 FR 50644, 2024-09847 (original rule filing); Release 34-101645 (Nov. 15, 2024), 89 FR 92228, 2024-27223 (Partial Amendment No. 1).

3. Solicitation of comments:

   • The SEC is publishing this notice to solicit comments on partial amendment No 1 from interested persons. 

   • All submissions should refer to File Number SR-FINRA-2024-007 and should be submitted on or before 15 DAYS after date of publication in the federal register.

   • The Federal Register was updated on 21^st November 2024 therefore 15 days after this leaves the final submission deadline as Friday 6^th November 2024 to file.

4. SEC Main partial amendment Document #1 FINRA-2024-007-A-1 – 80 Page Document:

   • SEC Main Partial Amendment Document 80 pages

5. Federal Register Document published on 21^st November 2024 – 7 Pages:

   • Federal-Reg2024-27223-21.11.24.pdf

6. SR-FINRA-2024-007-Resp-Comments 16 Pages:

   • SR-FINRA 2024 007 Response Comments 16 pages

7. FINRA-2024-007-Longer-Period Fed Register 2 Pages:

   • FINRA 2024 007 Longer Period Fed Register 2 pages

8. SEC Document Amendments to SLATE 33 pages 34-101645:

   • SEC Document Amendments to SLATE 33 pages

9. SEC Rule 10c-1a – 34-98737 (353 Pages):

   • SEC Rule 10c-1a 34-98737 353 pages

   • Pages 161-168, 280, 285 (this is about the covered person so we know the covered person does not need to be located in the USA)

10. SEC Federal Register 8.12.2021 – 2021-25739 – 52 Pages:

    • SEC Federal Register 8.12.2021 2021-25736 52 pages

11. SEC Approval of 10c-1a 2.1.2025 – 85 Pages:

    • SEC Approval of 10c-1a 2.1.2025 85 pages

12. ISLA Americas & ISLA Comment Letter re FINRA’s Partial Amendment to Proposed SLATE Rules (12-06-24) FINAL(82003.1)

    • ISLA Americas & ISLA comment letter re: FINRA Proposed Rules FINAL

13. Release 34-102093 (Jan. 2, 2025), 90 FR 1563, 2025-00179. See also, Letter from Racquel Russell, Senior Vice President, Director of Capital Markets Policy, Office of General Counsel, FINRA (Nov. 14, 2024).

14. Technical Specifications:

    • "Participant Specifications for Securities Lending and Transparency Engine (SLATE™)"

    • (Feb. 12, 2025). The SEC noted in the Approval Order that the specs "were not filed or required to be filed with the Commission." Approval Order, 90 FR at 1585: 2025-00173.pdf

15. From FINRA see here Robert Cook president and CEO of FINRA blog in January 2025:

    • Implementing the SEC’s Securities Lending Reporting Requirements | FINRA.org

ISLA filings to the SEC in 2024:

1. File Number SR– FINRA–2024–007_ Letter to SEC_Final_May2024 – Original 21 Items Filed:

   • Original 21 Items Filed

2. Additional Responses to SEC – FINRA Proposed Rules – 14June2024 – Expected & Effective Date:

   • Expected & Effective Date

3. Additional Response to SEC – FINRA Proposed Rules 27June24 – Customer Definition:

   • Customer Definition

4. Additional Response to SEC – FINRA Proposed Rules 01July24 – Cash Driven & Triparty Securities Loans:

   • Cash Driven & Triparty Securities Loans

5. Additional Response to SEC – FINRA Proposed Rules 01July24 – Short securities position created via margin lending under PB agreement:

   • Short Securities position created via margin lending under PB agreement

6. File Number SR– FINRA–2024–007_ Letter to SEC_July2024 Foreign Securities:

   • Foreign Securities

7. Additional Response to SEC – FINRA Proposed Rules 15July24 – OTC Foreign F- Shares Scope:

   • OTC Foreign F-Shares Scope

ISLA & SIFMA filings and Letters:

1. ISLA A Comment Letter re FINRA’s Proposed SLATE Fees FINAL12-18-2024(82416.1):

   • ISLA Americas comment letter re FINRA’s Proposed Slate Fees Final 12-18-2024

2. SIFMA Comment Letter – SLATE Fee Filing 12.18.2024:

   • SIFMA comment letter SLATE Fee filing 12.18.2024

FINRA SEA Rule 10c-1a “ Reporting Go Live & Data Dissemination” Extension Request:

1. FINRA SEA Rule 10c-1a – Extension Request: 29 Apr 2025

2. FINRA sent a request for an extension of both the go live date for 10c-1a and the date for the public dissemination publication:

   • Please see below link and attachment of the FINRA Request for Extensions of Remaining Rule 10c-1a Compliance Dates.

     • FINRA requests that the Commission extend the remaining compliance dates for Rule 10c-1a.

     • Specifically, FINRA requests that the Commission:

       • (1) extend until September 28, 2026, the compliance date by which covered persons must report Rule 10c-1a information to an RNSA (currently set for January 2, 2026), and

       • (2) extend until March 29, 2027, the compliance date by which an RNSA must publicly disseminate Rule 10c-1a information pursuant to Rules 10c-1a(g) and (h)(3) (currently set for April 2, 2026).

     • Securities Lending and Transparency Engine (SLATE) | FINRA.org

     • SEA Rule 10c-1a extension request letter 049295

SEC Grants Extension on Rule 10c-1a Compliance Dates:

1. What You Need to Know:

On 28 Jul 2025, the SEC issued an Order Granting Temporary Exemptive Relief for Rule 10c-1a, extending key compliance deadlines for industry participants and FINRA.

1. New Reporting Date: Now September 28, 2026 (previously January 2, 2026)

   • New Dissemination Date: Now March 29, 2027 (previously April 2, 2026)

   • This relief follows FINRA’s request and reflects the industry’s need for more time to build and test the infrastructure necessary to support the SLATE™ platform (Securities Lending and Transparency Engine).

   • The extension aims to ensure accurate and consistent data reporting and public dissemination—critical for transparency, investor protection, and market stability.

   • ISLA & ISLA Americas encourages all members and market participants to review the full order here:

     • SEC Reporting & Data Dissemination Postponement – 28.7.25

Legal Challenges:

• See this webpage: Legal Challenges

ISLA Americas “Comment Letter” to the SEC:

14 Apr 2025 – Request for Postponement and Review of the SEC’s Final Rule 10c-1a and FINRA Implementing Rules 6500 & 7720:

• ISLA Americas Letter to the SEC 14.4.2025 (Request for postponement & review of the SEC’s final rule)

  • Delay the Compliance Date of the Rule

  • Simplify and Clarify the Reporting Requirements

  • Change the Fee Structure

French Hill Letter March 2025:

• Letters calling for SEC to withdraw 15 rules, one of which is SEC10c1:

  • 2025-03-31_letter_to_sec.pdf

Financial Services Outlines Actions to be Rescinded, Modified, or Reproposed from the Biden-Harris Administration:

• Financial Services Outlines Actions to be Rescinded, Modified, or Reproposed from the Biden-Harris Administration | Financial Services Committee

Costs and RNSA Fees:

Solicitation of comments:

1. Fee structured comments to be filed by 21 days from the publication into the federal register.

2. See Approval Order, 90 FR at 1583-1584; Release 34-101697 (Nov. 21, 2024), 89 FR 93750, 2024-27742. The filing was made pursuant to Section 19(b)(3)(A)(ii) of the Securities exchange Act of 1934 and Rule 19b-4(f)(2) thereunder, which renders the rule change effective upon filing with the SEC but subject to SEC review. The SLATE reporting fees would not be implemented before January 2, 2026, and the SLATE data product fees would not be implemented before April 2, 2026. Approval Order, 90 FR at 1584 n.361. FINRA has responded to comments submitted to the SEC about this fee filing.

   • See Letter from Racquel L. Russell, Senior Vice President, Director of Capital Markets Policy, Office of General Counsel, FINRA (Jan. 13, 2025).

3. Fee Structure – SR-FINRA-2024-020 – SEC Doc 70 Pages:

   • Fee Structure SR FINRA 2024 020 SEC Doc 70 pages

4. FINRA filing with SEC 21.11.24 – 34-101697 – 27 Pages:

   • FINRA Filing with SEC 21.11.24 34-101697 27 pages

5. 2024-27742 – Federal Register Published 27.11.24 – 24 Pages:

   • 2024-27742 Federal Register Published 27.11.24 24 pages

6. FINRA to SEC Fees & Subscription Letter 13.1.25 – 6 Pages:

   • FINRA to SEC Fees & Subscriptions Letter 13.1.25 6 pages