FINRA Rules

Question 1

FINRA Rule 2273

Answer 1

•requires that RRs who move to a new firm and try to convince former customers to move with them,
provide educational material outlining things for the customer to consider to including financial incentives that could rise to a conflict of interest for the representative

Question 2

FINRA Rule 2111

Answer 2

•Suitability-firms and associated persons “must have a reasonable basis to believe” that a recommended transaction or investment strategy involving securities is suitable for the customer

Question 3

FINRA Rule 2090

Answer 3

•know your customer-financial and nonfinancial information

Question 4

FINRA Rule 2330

Answer 4

•deals with members’ responsibilities regarding variable annuities under the circumstances of,

- the initial purchase of a deferred variable annuity 
- initial sub account allocations