LTSE proposes rule change to align gift limits with FINRA
The Long-Term Stock Exchange's Rule 3.291 will be amended to raise the annual gift limit to $300 and add FINRA-aligned exemptions, effective immediately for all LTSE members.
On October 20, 2026, the Long-Term Stock Exchange, Inc. filed with the Securities and Exchange Commission a proposed amendment to LTSE Rule 3.291. The filing, identified as Release No. 34-106779; File No. SR-LTSE-2026-25, was published in the Federal Register on October 30, 2026 (Vol. 91, No. 212, pp. 69593-69596, FR Doc No. 2026-22452) and is effective immediately under Section 19(b)(1) of the Securities Exchange Act of 1934 and Rule 19b-4.
The amendment seeks to make LTSE Rule 3.291 substantially similar to FINRA Rule 3220, thereby allowing the rule to be incorporated into the existing 17d-2 Agreement between the Exchange and FINRA. The Exchange notes that the current rule limits gifts to $100 per individual per year, whereas FINRA Rule 3220 permits gifts up to $300.
The proposed changes include: (i) raising the per-person annual gift limit from $100 to $300; (ii) adding a new paragraph (d) that authorizes FINRA staff, under LTSE Rule Series 9.600, to grant exemptions from any provision of Rule 3.291 for good cause; and (iii) adopting Supplementary Material sections .01 through .09 that mirror FINRA guidance on gifts, entertainment, non-cash compensation, bereavement gifts, and related topics.
The amendment will apply to all LTSE members, including those that are also members of FINRA, with the stated goal of reducing duplicative regulation and eliminating confusion for common members. The Exchange believes the alignment will protect investors while reflecting inflation-adjusted purchasing power.
The full text of the proposed rule change is available on the Exchange's website at https://longtermstockexchange.com/ and at the Exchange's principal office. The Commission is soliciting comments from interested persons during the comment period indicated in the filing.
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