Suitability, Reg BI, and Account Supervision
Free FINRA Series 7 (General Securities Representative) lesson in Opening Accounts. 22 min read, ~3,354 words.
Reg BI imposes four obligations: Disclosure, Care, Conflict of Interest, and Compliance. Form CRS must be delivered at or before the first recommendation, not after. Sales contests tied to specific securities must be eliminated, not just disclosed. Three suitability types: reasonable-basis, customer-specific, and quantitative (churning). FINRA Rule 3110 requires OSJ...
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Check Your Understanding
- Exam Shortcuts
Learning objectives
- B6
- B7
- B8
- B9
- B10
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