February 17, 2021 Comments Off on Member Firms ask FINRA to Redefine Supervision after Working Remotely Blog, Current Investigations

Member Firms ask FINRA to Redefine Supervision after Working Remotely

Member Firms ask FINRA to Redefine Supervision after Working Remotely, featured by top securities fraud attorneys, The White Law Group

Brokerages firms ask FINRA to revise rules and relax its requirements for in-person personnel supervision

According to an article in Investment News on February 16, member firms and trade associations representing them have told FINRA that in-person personnel supervision may no longer be necessary after a year of working remotely.

Brokerages firms are reportedly asking FINRA to revise rules and relax its requirements for in-person personnel supervision after working remotely due to the coronavirus pandemic.

The Financial Industry Regulatory Authority (FINRA) reportedly issued a regulatory notice 20-42 in December seeking public comment on whether it should change to its rules, operations or administrative processes to reflect lessons learned during the pandemic.

In answer to the request, FINRA member firms and trade associations representing them told the regulator their pandemic experience has shown that supervisors don’t need to physically monitor registered representatives to ensure they’re following securities laws and rules, according to the article.

The letters included recommendations to redefine “what is meant by a branch office and office of supervisory jurisdiction, allowing greater use of electronic signatures and expanding the number of licensing exams that can be taken online.”

FINRA reportedly made a temporary rule change to allow remote office inspection for last year and this year through the end of this year.

This information is all publicly available and provided by The White Law Group. For a free consultation with a securities attorney, please call The White Law Group at 888-637-5510.

The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois.

For more information on The White Law Group, visit www.whitesecuritieslaw.com.

Comments are closed.