• Limit the time period that the offering price may be used as the basis for a per share estimated value to the period provided under Rule 415(a)(5) of the Securities Act of 1933 - i.e., Initial Offering Period.

• Require firms to deduct organization and offering expenses from per share estimated values during the Initial Offering Period.

• Prohibit a firm from using a per share estimated value, from any source, if it "knows or has reason to know the value is unreliable," based upon publicly available information or nonpublic information that has come to the firm's attention.

• Allow a firm to omit a per share estimated value on a customer account statement if the most recent annual report of the DPP or REIT does not contain a value that complies with the disclosure requirements of Rule 2340.2

How rule would change: FINRA representatives have advised that the proposal would require that the account statement valuation for the security during the offering must be a net par value; that is the offering price minus any front-end fees. This net par value may only be used on account statements during the "initial" offering period covered by the first registration statement. The proposal would also clarify that a broker-dealer that knows that the issuer's estimated value is unreliable is permitted to refrain from including the issuer's value on the firm's customer account statements. Broker-dealers would not be required to monitor each valuation for validity.