Dates, Times, Abbreviations Flashcards
FINRA must be notified _______ days prior to the effective date of a statutory subordinated loan
30 days
For how long must a broker dealer maintain institutional sales material?
3 years
What is the maximum criminal penalty for an individual convicted of insider training?
$5 million fine and or up to 20 years in prison
True or false: a temporary location used less than 30 days per year is a branch office
False
If use less than 30 days per year at temporary location is a non-branch office (vacation home)
When is FOCUS report part 1 required to be filed by carrying broker dealer and introducing broker dealer?
For carrying broker, dealers, within 10 business days of month end
For introducing broker dealers, the report is not required
After what time May market and limit -on -close orders no longer be canceled (even for a legitimate error)?
3:58pm
Delivery versus payment DVP requires payment to be made no more than ______calendar days from the transaction
35 calendar days
When must clients of a broker dealer received the firms most recent balance sheet?
On request
All forms of communication with the public must be kept for _____ years, but easily accessible for the first ____years
Kept for three years, easily accessible for two years
When must a broker dealer fill a clients limit order after executing a trade for its own account at the same or better price?
Immediately – within 60 seconds
If an analysts firm just published research on a company, how long must he wait before trading the stock?
Technically, he doesn’t have to wait because there is no restriction, but a research analyst must follow his own firms procedures
How often must senior management be apprised of the status of the firm supervisory control system?
Annually
Upon validation of a transfer, the transfer must be completed within _______business days
Three business days
After notification that the bond has been delivered, the actual buying may not occur for ________business days
Two business days
A net adjustment is required for short securities differences remaining unresolved after ______business days
7 business days
A non-branch office must be reviewed on a ______cycle
Periodic
Copies of confirmations must be maintained for ___ years
3 years
For trades that occur between 8 AM and 6:29:59 PM ET, when is the TRACE report made?
Within 15 minutes of the trade
An arbitration award must be paid within _____days
30 days
Under the code of procedure, a sanction becomes effective _____ days after the firm has received final notice
30 days
What entity is the parent of the national securities clearing corporation NSCC?
DTCC the depository trust and clearing corporation
How long must a syndicate member wait before publishing research on the issuers IPO?
10 calendar days
Within ____business days of being sent to an OSJ, a principal must approve or reject a variable contract application
7 business days
Under the TCPA, on what days do the call restrictions apply?
Every day of the year
If a written complaint relates to general securities activities , for how long are the records required to be maintained?
4 years
For how long must a prospectus be provided in the aftermarket for a non-exchange IPO?
90 days
True or false: although NASDAQ marketmaker open hours are 9:30 AM to 4 PM, extended trading hours are available
True, however, specific risks are inherent in extended hours trading
The hearing panel must give a member firm _____days prior notice before a hearing is held
28 days
According to the HSR Act, and M&A deal may not be completed until_____ days after notification
30 days
The statute of limitations for submitting an arbitration claim is _____years from the occurrence of the event
6 years
What is the ADF?
The alternative display facility;ECNs use it to display orders rather than the NASDAQ market center execution system
For retail communication regarding variable contract performance, what periods must be covered?
1, 5, 10 year periods ( if under 10 years, whatever the policies life is)
According to industry rules, _____ % is the maximum sales charge on mutual funds
8.5%
A market maker withdrawing its quote for legal or regulatory reasons will be excused for up to _____days
60 days
What is the penalty of a NASDAQ market maker has an unexcused withdrawal from publishing a quote?
20 business days suspension in that stock
Between 8 AM and 6:29:59PM ET, 2 FINRA members are involved in a trade. Who reports it to TRACE?
Each FINRA member is required to report its side of the trade
When buying securities and restricted margin account clients must deposit ___% of the trade within_______ business days
50% ; three business days
Generally, how often will a broker dealer calculate the required deposit in its special reserve bank account?
On a weekly basis
Upon making changes to its Fidelity bonds, the broker dealer must notify its DEA______
Promptly
How often are firms required to evaluate their training needs?
Annually
Rule 147 offerings may not be sold to an out-of-state investor for _____months following the last sale of a new issue
Six months
A trial balance used to calculate net capital is prepared ______
Monthly
How often are broker dealers required to send statements to clients regarding penny stocks in their accounts?
Monthly
After filing notice of an impending M&A deal, it may not be completed until how many days have elapsed?
30 days
Individuals must register with the SEC within _______ of becoming an insider
10 days
What step is required if a failed-to-deliver position has been open for 13 consecutive settlement business days?
Mandatory closeout
What time limit exists for issuers/affiliates of actively traded securities that are re-purchasing their own security?
They may not purchase their security within the last 10 minutes of the trading day
Regulation A requires an issuer to file _____ years of financial statements that may be________
2 years ; unaudited
On an annual basis, when are representatives required to complete the regulatory element of continuing education?
December 31
A market maker’s registration ceases if no quote is made within _____business days
Five business days
When recommending a variable annuity to a client, when must the principal review and approve/disapprove the trade?
Within seven business days
What are the justifiable reasons for denying an individuals registration?
Conviction for any felony or securities related misdemeanor within the last 10 years
Typically, investment companies are allowed no more than ______days from request to complete a redemption
Seven days
If an investment analysis tool is made available to retail investors, FINRA must be provided access______
Upon request
A clients name and number must be kept on the do not call list____
Indefinitely
Broker dealers must review their Fidelity bond coverage____
Annually
What is the CQS? And what does it do?
The consolidated quotation system; provides quotes for NYSE and AMEX listed securities, including third market quotes
What are treble damages?
The civil penalty for insider trading, which is three times the profit made or loss avoided
What is the aftermarket prospectus requirement for the follow on offering of an exchange listed stock?
Zero days; no requirement exists for the follow on offering of an exchange listed stock
NASDAQ system hours are _____ am to _____ pm ET
4am to 8pm ET
If a customer changes his address, where and when must notification of the change be sent?
Notification must be sent to the customers old address within 30 days of the change
The NBBO or national best bid and offer is also referred to as the _______ market
Inside market
A satisfactory subordinated loan has a minimum maturity of _____
One year
For how long must a prospectus be made available in the secondary market for an exchange listed IPO?
25 days
When must retail communication concerning CMO’s be filed with FINRA?
Within 10 business days of first use
Define short swing profit
A profit earned nonstock held less than six months
When is the firm business continuity plan made available to FINRA?
Promptly upon request
Under the TCPA, if requested, a client must be placed on the do not call list within ______days of request
30 days
When must insiders report their transactions?
Within two business days of the trade
True or false: trades executed between 8 PM and 8 AM Eastern time must be reported within 10 seconds of execution
False.
The 10 second reporting requirement applies to trades executed between 8 AM and 8 PM Eastern time
Fails-to-deliver and threshold securities that have existed for _______ settlement days must be closed out
13 consecutive
When showing mutual fund returns, what time periods must be included?
1, 5 , 10 years or life if the fund if less than 10
How often must broker dealers publish reports summarizing their order routing practices?
Quarterly
An issuer with $700 million outstanding voting shares will be placed in what category?
Well known seasoned issuer (WKSI)
A seasoned issuer may use a free writing prospectus (FWP)______ filing its registration statement with the SEC
After
Jim was convicted of insider-trading and served a three-year prison term. May he now re-enter the securities industry?
No – statutory disqualification bars as a person from the securities industry for 10 years from the date of the conviction
If a qualification exam has been failed for the third time, what waiting period applies?
180 days after the third unsuccessful attempt and each attempt after that
Trades involving corporate and municipal security, settled by the_____ day following the trade date (T+_)
First business day (T+1)
For how long is a firm required to retain any written or electronic communication?
Three years from the date of last use
All documents are to be maintained readily accessible for the first ____years
Two years
Once notified by a code of procedure hearing panel, the hearing must be held within _____days
28 days
What is the private investment in public equity (PIPE)?
When a broker dealer acts as a placement agent for restricted securities of an issuer whose securities are already publicly traded
Three months ago an insider required stock at $12. If she sells the sheriff today at $15 may she keep the profit?
No – under the short swing profit rule and insider may not keep a profit earned on stock held less than six months
A syndicate member must wait____ calendar days before publishing research on the issuers IPO
10 calendar days
If securities are discovered missing during a quarterly securities count , what is the reporting period?
No later than 10 business days from discovery
According to regulation M, the restricted period begins either ____ or _____business days before pricing
1 or 5
The special reserve bank account must be evaluated by carrying firm on a _____basis
Weekly
How long are securities restricted that are received by a broker dealer as compensation for an underwriting?
Six months
To be considered a threshold security, excessive fails to deliver must occur for ______consecutive settlement days
5
Mutual fund shares have lone value after they have been owned for ____days
30 days
True or false: form U5 is retained for six years, following termination of employment
False, it is retained for three years
For insider trading violations, the SEC can sue for treble damages – what does the statement mean?
The SEC can sue for three times the damage – profit made or loss avoided
What is the NBBO?
The national best bid and offer, also considered the inside market
Investors may not purchase a new issue if those shares were sold short _____business days prior to the offering
5
In CQS, what is the penalty if a market maker fails to provide timely quotes for a security
One business day suspension from market making in that security
Under the limit order display rule, how quickly must orders that improves the market makers quote be displayed?
Immediately, but no later than 30 seconds
Unless appealed when do penalties become effective under the code of procedure?
No later than 30 days from the decision
As stated in a broker dealers supervisory program, with whom must the CEO annually conduct a meeting?
The CCO – the broker dealers chief compliance officer
The final settlement of a syndicate account must occur within ______of the syndicate closing
90 days
How often must all registered personnel participate in a compliance meeting?
Annually
Or margin clients, a firm must provide at least _____days written notice of changes in the method of computing interest
30 days
When must RRs complete the regulatory element of continuing education?
Annually by December 31
How long must an underwriting manager wait before publishing research on an issuers IPO?
10 calendar days
The SEC must be notified ____days prior to the effective date of a satisfactory subordinated loan
10 days
A carrying broker dealer must file FOCUS report part ll within _____business days of the end of the quarter
17 business days
Insiders must return swing profits, which are profits earned on stock that has been held for less than _____months
6 months
A penalty imposed by hearing panel is generally effective ____days after assessment
30 days
For how long is an employee questionnaire (form U4) and fingerprint cards retained?
For three years after the representative leaves the firm
Shelf registration is valid for up to ____ years
3 years
NASDAQ market maker normal market hours are ____am to _____ pm ET
9:30am to 4pm
What two choices does a firm have once it is notified that it has met the threshold established under the taping rule?
Either begin taping within 60 days, or reduce its staff level below the threshold within 30 days
Once form 144 is filed, owners have ____ days to sell their securities
90 days
What must be noted by a client to prevent her by limit and sell stop orders from being reduced on the ex- dividend date?
Do not reduce – DNR
The _______ and _______ of an underwriting may not immediately issue research reports on investment banking clients
The manager and comanager
According to the piggyback exception , when is the filing of form 211 not required?
When the stock has been quoted on a regular and continuous basis for the past 30 days
Issuers of non-actively traded securities may not purchase their own shares during the last ____minutes of trading
During the last 30 minutes of trading
When may regulation S securities be re-sold through a designated offshore securities market?
Immediately
If the S& P 500 falls by 20% from the previous days close, trading halts for_____
The remainder of the day
Any trades affected by representatives must be approved ______by a principal
Promptly
And mutual fund, retail, communication, performance statistics must cover ____, ____, and ____ year periods
1,5,10
What is considered regular and continuous quoting as defined by the piggyback exception?
Over the last 30 days, no more than four business days elapsed without a quote
If a storyboard has been filed, when must the final version of a TV or video advertisement be filed with an SRO?
Within 10 business days of initial broadcast
Once appointed as a principal, a candidate has ______days to qualify for the position
120 days
Customer ledgers ( account records) are maintained for _____years
Six years
How many days advance notice is provided to clients if a broker dealer changes loan terms (interest rate)?
30 days
If owned for____ days, open an investment company (mutual fund) shares may be used as collateral in a margin account
30 days
An offering effective date is generally_____ days after the filing of the last amendment
20 days
A market maker may withdraw its quote for up to_____ business days for issues beyond its control (eg system outages)
Five business days
How many business days prior to presentation must evidence of incumbency be dated?
No more than 60 days
An underwriting manager must wait_____ calendar days before publishing research on an issuers IPO
10 calendar days
When may telemarketers place calls to perspective clients?
From 8 AM to 9 PM on any day of the year
If a firms net capital is below 120% of its minimum, or its aggregate indebtedness to net capital ratio exceeds 12:1, when is notification required?
Within 24 hours of discovery
And what does a real estate investment trust (REIT) invest?
A diversified portfolio of properties and or mortgages
For how long must a prospectus be provided in the aftermarket for an IPO of a stock to be listed on an exchange?
25 days
What is the system that provides quotes for the third market?
The consolidated quotation system – CQS
An applicant will be subject to statutory disqualification for any felony conviction within the last ____years
10 years
What system facilitates the mandatory reporting of secondary market trades in eligible fixed income securities?
TRACE
Trade reporting and compliance engine
An underwriting manager must wait _____calendar days before publishing research on the issuers secondary offering
Three calendar days
The manager or co-manager of an IPO must satisfy a quiet period of _____calendar days prior to publishing research
10 calendar days
When does the restricted period begin for security with the public float of $50 million and and an ADTV of $125,000?
One business day prior to pricing
According to the locate requirement of regulation, SHO, broker dealers may use an easy to borrow list less than ______ old
24 hours
What other term may be used for a companies chief executive officer (CEO) or chief financial officer (CFO)?
Principal executive officer (PEO) or principal financial officer (PFO)
