Supervisory responsibilities and securities regulation concepts tested on the Series 24 general securities principal exam.
40 cards · basic cards · AI-written, checked twice. Edit anything.
- What is an Office of Supervisory Jurisdiction (OSJ)?
- A location a firm designates where certain higher-level supervisory activities occur, such as approving new accounts or reviewing correspondence.
- How does a branch office differ from an OSJ?
- A branch office is any location where securities business is conducted, while an OSJ is a branch specifically designated for higher-level supervisory functions.
- What topics does the Regulatory Element of continuing education cover?
- Compliance, regulatory, ethical, and sales practice standards common to the securities industry.
- What is the Firm Element of continuing education?
- Ongoing, firm-designed training on job- and product-related topics for registered persons, based on a written training plan.
- What is Form U4 used for?
- Registering an individual with a securities firm and regulators.
- What is Form U5 used for?
- Reporting that a registered person's association with a firm has ended.
- What is Form BD used for?
- Registering a firm as a broker-dealer.
- What is 'selling away'?
- A registered representative engaging in securities transactions outside the firm without the firm's knowledge or approval.
- What must a registered representative do before engaging in an outside business activity?
- Provide prior written notice to the firm.
- What is churning?
- Excessive trading in a customer's account primarily to generate commissions rather than benefit the customer.
- What must a firm obtain before exercising discretion in a customer's account?
- Prior written authorization from the customer.
- Under FINRA rules, a registered person may generally give a business-related gift worth no more than ____ per person per year.
- $100
- What does MSRB Rule G-37 restrict?
- Political contributions by municipal securities dealers to officials who can influence the awarding of municipal securities business.
- What is a Written Supervisory Procedures (WSP) manual?
- A firm's documented set of policies and procedures for supervising its business and its personnel.
- How often must a firm review its Written Supervisory Procedures?
- At least annually.