Welcome to the Investors Trading Academy talking
glossary of financial terms and events.
Our word of the day is “FINRA - The Financial
Industry Regulatory Authority”
The Financial Industry Regulatory Authority
referred to as FINRA oversees all securities
licensing procedures and requirements for
the United States.
This self-regulatory organization administers
many of the exams that must be passed to become
a licensed financial professional.
It also performs all relevant disciplinary
and record-keeping functions.
The Financial Industry Regulatory Authority
is a regulatory body created after the merger
of the National Association of Securities
Dealers and the New York Stock Exchange's
regulation committee.
The Financial Industry Regulatory Authority
is responsible for governing business between
brokers, dealers and the investing public.
By consolidating these two regulators, FINRA
aims to eliminate regulatory overlap and cost
inefficiencies.
FINRA offers several different types of licenses
needed by both representatives and supervisors.
Each license corresponds to a specific type
of business or investment.
While there are several licenses geared toward
specific types of securities, there are three
general licenses that the majority of representatives
and advisors usually obtain.
