(a) Educational Communication Delivery Requirement
A member that hires or associates with a registered person shall provide to a former customer of the registered person, individually, in paper or electronic form, an educational communication prepared by FINRA when (1) the member, directly or through that registered person, individually contacts the former customer of that registered person to
Representatives who leave their firms often contact former customers and emphasize the benefits the former customers would experience by transferring their assets to the firm that recruited the registered representative (recruiting firm) and maintaining their relationship with the representative.
In this situation, the former customer's confidence in and prior experience with the
In March 2016, the SEC approved the adoption of FINRA Rule 2273 (Educational Communication Related to Recruitment Practices and Account Transfers).
FINRA requires firms to report short interest positions in all customer and proprietary accounts in all equity securities twice a month. All short interest positions must be reported by 6 p.m. Eastern Time on the second business day after the reporting settlement date designated by FINRA.See the schedule of reporting dates below.2024 Short Interest Reporting
Rule 3110.18 governs the terms of FINRA’s voluntary, three-year Remote Inspections Pilot Program (Pilot Program), which starts on July 1, 2024 and ends on June 30, 2027. Under the Pilot Program, eligible member firms will have the flexibility to satisfy their inspection obligation under Rule 3110(c)(1)(A), (B) and (C) without an on-site visit to the office or location, subject to specified terms that include conducting and documenting a risk assessment, and producing written supervisory procedures for conducting remote inspections and inspection data to FINRA.
Every broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934 (SEA) is required to file an annual report as specified under SEA Rule 17a-5(d). Members must submit their annual reports to FINRA in electronic form through FINRA’s Firm Gateway. See below for further information on FINRA Firm Gateway.
Firms must comply with the Bank Secrecy Act and its implementing regulations ("AML rules"). The purpose of the Anti-Money Laundering (AML) rules is to help detect and report suspicious activity including the predicate offenses to money laundering and terrorist financing, such as securities fraud and market manipulation. FINRA reviews a firm’s compliance with AML rules under FINRA Rule 3310, which sets forth minimum standards for a firm’s written AML compliance program.
On This PageOverview of Margin RequirementsExtensions of TimeInterpretations of FINRA's Margin RuleCustomer Margin Balance Reporting and Margin StatisticsPortfolio MarginCovered Agency Transaction MarginMargin Disclosure StatementsExternal ResourcesContact OGCOverview of Margin RequirementsThe terms on which FINRA member firms (brokers) can extend credit for securities transactions are
The SEC requires that broker-dealers create and maintain certain records so that, among other things, the SEC, self-regulatory organizations ("SROs") and state securities regulators may conduct effective examinations of broker-dealers.
This rule is no longer applicable.
The term "branch office manager" means a registered representative in charge of a branch office.
