Membership Decision

Decision Issuance

After considering the application, the membership interview, documents provided by the Applicant, other information, the public interest and the protection of investors, FINRA will issue a decision as to whether membership will be granted, granted with restrictions or denied. The decision will be based upon a determination as to whether the Applicant meets the Standards for Admission as contained in NASD Rule 1014.

 

The FINRA MAP Group staff will issue a written decision on the membership application within 30 days after the conclusion of the membership interview or after the submission of additional information or documents, whichever is later. In the event that the decision either grants with restrictions or denies the membership application, the written decision will explain the rationale referencing the applicable standard(s) in NASD Rule 1014(a).

After the FINRA MAP Group receives an executed Membership Agreement, the MAP Group staff will send a letter to the Applicant welcoming the Applicant to FINRA and informing the newly admitted member firm that it may commence business operations.

 

Appealing the Decision

Under NASD Rule 1015, an Applicant may file a written request for review of the membership decision with FINRA's National Adjudicatory Council within 25 days after service of the decision by sending the written request to:

 

National Adjudicatory Counsel
Office of General Counsel
FINRA
1735 K Street, N.W.
7th Floor
Washington, DC 20006

 

A copy of this request must simultaneously be sent to the FINRA District Office where the membership application was processed. A request for review must include, with specificity, the reasons why the Applicant believes that the decision is inconsistent with the membership standards set forth in NASD Rule 1014, or otherwise should be set aside. If the Applicant would like to present information at a hearing, the written request for review must indicate that a hearing is requested.

The decision of the FINRA National Adjudicatory Council is the final action of FINRA, subject to review at the discretion of the FINRA Board. Under NASD Rule 1019, an Applicant aggrieved by final action of FINRA under the NASD Rule 1010 Series may apply for review by the SEC pursuant to Section 19(d)(2) of the Exchange Act. The filing of an application for review will not stay FINRA's decision, until the SEC otherwise orders.

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