Update - Fractional Shares Reporting

As previously announced on March 22, 2024 in a FINRA Trade Reporting Notice, FINRA is planning to implement enhancements to the FINRA equity trade reporting facilities to support the reporting of fractional share quantities. The enhancements require associated updates to FINRA's trade reporting guidance, as described in greater detail in the Trade Reporting Notice. These enhancements are being made in coordination with the Unlisted Trading Privileges (UTP) and Consolidated Tape Association (CTA) Securities Information Processors (SIPs) to facilitate the dissemination of fractional share quantities for NMS stocks.

In the Trade Reporting Notice, FINRA indicated that the effective date of the updated trade reporting guidance would be no earlier than the first calendar quarter of 2025 and that the specific effective date would be announced in a future Notice.

FINRA continues to work with the FINRA/Nasdaq and FINRA/NYSE Trade Reporting Facilities and the SIPs on finalizing an effective date, as well as a testing schedule. At this time it has been determined that the effective date of the fractional share reporting enhancements and related guidance will be no earlier than the third calendar quarter of 2025.

FINRA anticipates that the implementation of fractional share reporting will be phased, with fractional reporting implemented first for NMS stocks and then for OTC Equity Securities at a later date.

Firms may sign up for FINRA Facilities-related notifications via the FINRA Email Subscription Service page by accessing the "Equities" subscription list under the "Market Transparency" section.

If you have any questions, please contact FINRA Business Services.