This is a US government summary of Y2K for our industry:
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www.y2k.gov
Securities Industry. The securities industry is finalizing its Year 2000 preparations and contingency plans. As of September 24, 1999, the eight national securities
exchanges and the National Association of Securities Dealers (NASD) had completed remediation and testing on 99 percent of mission-critical systems.
Approximately 95 percent of the remediated systems are in production and the remaining systems are scheduled to be placed in operation during October. The
clearing agencies have completed remediation, testing, and implementation on 100 percent of mission-critical systems. All participants are completing Y2K
contingency plans and are beginning to test those plans.
Earlier this year, the SEC adopted rules requiring broker-dealers and non-bank transfer agents to achieve Year 2000 compliance in their mission-critical systems by
August 31, 1999. The rules require any firm that had not completed Y2K work by August 31, 1999 cease conducting business or certify and demonstrate how it
will achieve compliance by November 15, 1999. Of the approximately 4,500 broker-dealers and transfer agents to which the rules apply, only 20, primarily small,
firms filed notices under the rule. Several of these firms have since fixed the problems they identified and the remainder have certified that they will do so well in
advance of the November 15 deadline. Monitoring by the self-regulatory organizations (SRO) such as the NASD and New York Stock Exchange indicates that the
broker-dealer community is well prepared. |
