Table of Contents
What must be reported on a U4?
The Form U4 requires registered representatives to disclose if they have ever been “convicted of or pled guilty or nolo contendere (“no contest”) in a domestic, foreign, or military court to any felony” or if they have been “charged with any felony.” The Form U4 also requires the disclosure of any conviction, guilty …
What is the U4 process?
The Form U4 is the Uniform Application for Securities Industry Registration or Transfer. Representatives of broker-dealers, investment advisers, or issuers of securities must use this form to become registered in the appropriate jurisdictions and/or SROs.
Do all complaints go on U4?
Second, your firm has an obligation to report certain customer complaints to FINRA, pursuant to Rule 3070. Third, certain customer complaints will require an amendment to your Form U4. Most (if not all) firms require written complaints to be forwarded to the home-office compliance department for review.
What can disqualify you from FINRA?
Criteria for Permanent Disqualification
- Misstatement/Omission. Misstatement or failure to disclose material information.
- Disciplinary Actions.
- Fraud.
- Decisions, Awards, Involving Discrimination/Harassment.
- Director’s Judgment.
Can disclosures be removed from U4?
While you are required to report a bankruptcy on your Form U4, there will be an opportunity to remove the disclosure at some point, assuming that you do not repeatedly file for bankruptcy or are the subject of involuntary bankruptcy proceeding cases.
How long does something stay on your U4?
When you amend your Form U4 once the bankruptcy is more than ten years old, the disclosure will go into archive status and remain in the CRD or IARD system.
How long does a complaint Stay on your U4?
nine months
The average U4 customer dispute expungement case will last nine months.
Who does FINRA rules apply to?
FINRA Regulates Broker-Dealers, Capital Acquisition Brokers, and Funding Portals. A Broker Dealer is in the business of buying or selling securities on behalf of its customers or its own account or both. A Capital Acquisition Broker is a Broker Dealer subject to a narrower rule book.
What are the regulations for the form U4?
On the broker-dealer side, the primary regulations relating to the Form U4 come from FINRA. Article 5, Section 2 of the FINRA Bylaws require that any person applying for registration with FINRA submit an application (the Form U-4) and that the application be kept current, by amendment, at all times.
What is the FINRA form U4?
FINRA-member broker-dealers are required to file Forms U4 on behalf of proposed associated persons under FINRA Rule 1013.
How do I file an amendment to form U4?
An individual is under a continuing obligation to amend and update information required by Form U4 as changes occur. Amendments must be filed electronically (unless the filer is an approved paper filer) by updating the appropriate section of Form U4. A copy, with original signatures, of the initial Form U4 and amendments to
How can I make sure my form U4 is accurate?
It is important to always ensure that your Form U4 is kept current and accurate at all times. To assist in doing this, you should make it a practice to periodically review your Form U4.