Following joint actions by the Securities and Exchange Commission, the New York Stock Exchange, and NASD to settle charges regarding email retention by several Wall Street firms, the Securities Industry Association issued a statement indicating that it hopes to see some standards established on the issue.

“The securities industry has been working in good faith with the regulators for the past six years to update the record retention rules to accommodate email. We hope this settlement paves the way for a final resolution to the recordkeeping challenges that are currently confronting the industry,” said Stuart Kaswell, senior vice president and general counsel of the SIA.

“These challenges include clarifying the vague ‘business as such’ standard applicable to communications so as to more precisely define which internal email communications a firm must retain. In addition, the pre-Internet restrictions on electronic storage technology need to be revised to allow for technologies that allow for the prompt, efficient archiving of the tremendous volume of email that is being generated today. Modern rules for rule retention and embracing modern technology are in the best interests of investors,” Kaswell continued.

“The industry has worked proactively with the regulators to resolve the retention and storage issues that electronic communications present. We look forward to completing this effort,” he concluded.