FINRA Rule 3110: Background Checks

FINRA Rule 3110(e) (Supervision: Responsibility of Member Firms to Investigate Applicants for Registration) dictates that member firms must “ascertain by investigation the good character, business reputation, qualifications, and experience of an applicant”. In other words, member firms are required to run thorough background checks on all sponsored applicants for registration.

Among other things, the information gained from a thorough investigation is used to update the applicant’s Form U4, Read More…

2016 Broker-Dealer Training Considerations

Annual broker-dealer training should be derived from relevant regulatory and/or industry focus areas. It is important to consider the current “hot topics” and implement appropriate training regarding the areas that would best mitigate risk when performing needs analysis and developing an annual training plan.

We have utilized appropriate industry publications and summarized the applicable topics that were addressed. You can click the links below for more information on the referenced subject matter. Firms are reminded that they should not rely solely on these topics below. The ultimate goal is for the Firm to reduce its regulatory and Read More…