Series 27 – Financial and Operations Principal Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. How does FINRA Rule 4140 impact the audit requirements for a broker-dealer, and what specific responsibilities does it place on the Financial and Operations Principal (FINOP) regarding the audit process? FINRA Rule 4140 mandates that member firms undergo an annual audit […]
Series 26 – Investment Company and Variable Contracts Products Principal Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. What are the key differences in registration requirements and permissible activities between a registered investment adviser (RIA) and a broker-dealer (BD), and how does FINRA Rule 1230 impact these distinctions? Registered Investment Advisers (RIAs) and Broker-Dealers (BDs) operate under distinct regulatory […]
Series 24 – General Securities Principal Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. What are the key differences in registration requirements and ongoing obligations between a Registered Investment Adviser (RIA) and a Broker-Dealer (BD), and how does a firm determine which registration is most appropriate for its business model? RIAs and BDs are governed […]
Series 23 – General Securities Principal Exam – Sales Supervisor Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. What are the key differences in registration requirements and oversight responsibilities between a Registered Investment Adviser (RIA) and a Broker-Dealer (BD), and how does this impact the activities they can legally undertake? RIAs and BDs operate under different regulatory frameworks. RIAs […]
Series 22 – Direct Participation Programs Representative Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. Under what circumstances, according to FINRA Rule 2210, would a registered representative be required to obtain principal approval prior to using a communication regarding a DPP with the public, and what specific elements must be approved? FINRA Rule 2210 mandates pre-use […]
Series 16 – Supervisory Analysts Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. Under what circumstances, according to FINRA Rule 2241, must a firm disclose in a research report if it managed or co-managed a public offering of the subject company’s securities? What specific time frame does this disclosure requirement cover, and what are […]
Series 14 – Compliance Officer Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. How does the SEC’s Rule 15c3-1, regarding Net Capital Requirements for Brokers or Dealers, interact with FINRA Rule 4110 concerning Capital Compliance, and what are the potential consequences for a firm that fails to meet both requirements simultaneously? SEC Rule 15c3-1 […]
Series 31 – Futures Managed Funds Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. Explain the concept of “cost of carry” in futures markets and how it influences the relationship between spot and futures prices. How does this relationship differ for storable versus non-storable commodities, and what are the implications for arbitrage opportunities? Cost of […]
Series 30 – NFA Branch Manager Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. Explain the supervisory responsibilities of a branch manager under NFA Compliance Rule 2-9, specifically concerning the review and approval of customer accounts and the detection of potential sales practice abuses. What specific documentation and procedures must be in place to demonstrate […]
Series 3 – National Commodities Futures Exam Key Study Note Set Two
Here are 14 in-depth Q&A study notes to help you prepare for the exam. Explain the concept of “full carry” in futures markets and how it relates to the cost of carry model. What factors might cause a market to deviate from a full carry scenario, and what are the implications for traders? A “full […]