Permitted Activities of Registered Principals

Covered activities include supervising a member's options sales practices with the public for the following products:

• equity options,
• foreign currency options,
• interest rate options,
• index options and
• options on government and mortgage-backed securities.

A general securities principal’s supervisory responsibilities are governed by the limitations of their representative-level registrations. Covered supervisory activities include regulatory compliance over:

• advertising,
• market making,
• trading and
• underwriting.

A general securities principal’s supervisory responsibilities are governed by the limitations of their representative-level registrations. Covered supervisory activities include regulatory compliance over:

• advertising,
• market making,
• trading and
• underwriting.

Covered supervisory activities and products include regulatory compliance over sales of:

• closed-end funds (initial offering only),
• mutual funds,
• variable annuities and
• variable life insurance.

Covered supervisory activities include the following:

• back office operations;
• preparation and maintenance of a member firm’s books and records; and
• compliance with financial responsibility rules that apply to self-clearing broker-dealers and market makers.

Covered supervisory activities include the following:

• back office operations;
• preparation and maintenance of a member firm’s books and records; and
• compliance with financial responsibility rules that apply to fully disclosed broker-dealers that do not hold customer funds and securities and do not carry customer accounts.

Covered supervisory activities and products include regulatory compliance over sales of:

• direct participation program limited partnerships (e.g., real estate, oil and gas, and equipment leasing),
• limited liability companies and
• S corporations.

In addition to sales supervision, the Series 39 qualifies a principal for the overall supervision of a firm’s investment banking and securities business — including compliance, underwriting and advertising — for those activities specially covered by each supervisory principal’s license.