The U.S. Securities Industry Association isn’t so keen on the proposed rules restricting research analysts that were announced by the National Association of Securities Dealers Inc. yesterday.

Marc Lackritz, president of the SIA said that it is pleased that the NASD and government are using the self-regulatory system to improve analysts independence, but he has significant concerns about the rules. “The proposal will impose technical regulatory requirements at significant costs that may impair the ability of firms and their analysts to provide timely, relevant investment recommendations,” Lackritz said.

“Furthermore, some requirements may have the effect of tipping insider information about prospective transactions,” he said, noting that the SIA remains committed to working with all interested parties to address these issues, and will bring up its concerns when the SEC publishes the proposal for public comment.