The Financial Industry Regulatory Authority on Tuesday said it fined Merrill Lynch $500,000 for failing to offer discounts for buyers of unit investment trusts.

The brokerage giant, a unit of Bank of America Corp., will also pay affected customers more than $2 million to end the matter, which Merrill Lynch settled without admitting or denying the allegations. It did consent to the entry of Finra's findings.

The regulator said Wednesday that it found that, besides failing to provide sales discounts to eligible customers, Merrill didn't have an adequate system to make sure customers received them.

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