Finra investigates trading in new Puerto Rico bonds

|By:, SA News Editor

The Financial Industry Regulatory Authority is looking into trading in the $3.5B worth of bonds that Puerto Rico auctioned earlier this month.

The probe comes amid concerns that the debt is being improperly sold to individual investors.

In its prospectus, Puerto Rico said it would issue the paper in minimum denominations of $100,000, with the idea being to discourage smaller investors. However, the notes have been changing hands in amounts as low as $5,000.