Why was NASD chosen?
CSBS solicited and reviewed proposals from a number of companies to develop the system. Of these firms, CSBS selected NASD to develop and operate the system. NASD, a self-regulatory organization for the U.S. securities industry, operates two national licensing systems for state regulators in the securities and investment advisory industries: the Central Registration Depository (CRD) used to register broker-dealer firms and the securities professionals who work for them; and the Investment Adviser Registration Depository (IARD) system to provide a secure, web-based, electronic filing, registration, and regulation system for investment adviser firms and registered advisers. It also provides regulatory examiners and investigators with compliance and enforcement tools. How will the system work? The system’s basic features will be a secure web-based central licensing system and repository containing licensing information, enforcement actions and background data for every participating state
