Securities dealers were offered new rules.

The Federal Reserve Bank of New York issued strictly voluntary standards of capital adequacy for government securities dealers not supervised by federal authorities. The main recommendation is that a dealer’s liquid capital always exceed measured risk by 20%. The guidelines set down formulas to estimate possible risk. The Fed also suggested that clients ask a dealer for a statement that it will keep to an identified capital adequacy standard, audited statements confirming that it met the standard on the date audited and a certified public accountant’s letter stating that it found no material weaknesses in the firm’s internal controls.