FINRA To Strengthen Background Checks For Broker Hires

[kreslik.news]

The Financial Industry Regulatory Authority (FINRA) announced on Thursday that broker-dealers will no longer need to verify information provided by candidates for brokerage or investment jobs by searching through public records. Instead, the US regulator will take over this process.

From next Monday, July 9, FINRA will begin to perform public record reviews of potential financial advisors within 15 days after a firm applies to register them with the US regulator.

The review process

Brokers will need to submit a Form U4, the uniform registration application, for job candidates. In the form, firms must validate that the disclosure questions are ... (read more)