Your request letter states that many securities firms utilize computer systems designed with software programmed to operate with data fields that use two digits to indicate a given year. You indicate a concern that, unless remedied, this problem could occasion a breakdown in many computerized information systems utilized in the securities industry. Similar concerns have been expressed by others with respect to other industries and certain governmental activities. Indeed, the President has established a Council on the Year 2000 Conversion to encourage government and private industry to take the steps necessary to resolve potential Year 2000 transition problems in advance of January 1, 2000. SIA is an association of nearly 800 securities firms.
Membership is open to all qualifying entities on a nondiscriminatory basis.
Its members are active in all markets and in all phases of corporate and public finance, and include investment banks, broker-dealers, and mutual fund Page 2 companies. They manage the accounts of more than 50 million investors directly and tens of millions of investors indirectly through corporate, thrift, and pension plans. The SIA has developed a comprehensive program to coordinate Year 2000 remediation efforts to increase the likelihood that the securities markets will function smoothly when the calendar changes to January 1, 2000. SIA's program has been coordinated with the SEC, bank regulators and various parties that provide services to the securities industry. In order to assist its members with the Year 2000 transition, SIA proposed two types of information exchanges.