Skip to main content

For updates and guidance related to COVID-19 / Coronavirus, click here.

FINRA Announces New Examination and Risk Monitoring Leadership Team

December 18, 2019
Volume 51


  • UPC Advisory
disciplinary actions

Disciplinary Actions


Upcoming Deadlines and Effective Dates
  • FINRA Request for  Comment
  • Renewal Program

Education and Compliance Programs

FINRA’s Board of Governors met for the final time this year. During the meeting, the Board approved two rule proposals, received several operational updates and reaffirmed FINRA’s Financial Guiding Principles. Watch the Board Update video.


FINRA recently announced the senior leadership team under the new examination and risk monitoring structure within the organization. This marks the consolidation of FINRA’s three exam functions into a single, unified program—a process that began in October 2018. As part of the new program, all FINRA member firms are grouped into one of five main firm business models: Retail, Capital Markets, Carrying and Clearing, Trading and Execution, and Diversified. Each of these groupings has several sub-groups to more precisely categorize firms with similar business models and activities.

New FINRA Foundation research, based on data from approximately 2,000 survey respondents, provides an in-depth exploration of investing-related topics. In addition to core measures such as the popularity of investment vehicles, usage of investment information sources, attitudes towards investing, and investor knowledge, the 2018 Investor Survey includes new or expanded data on topics like investing methods.


UPC Advisories

The following UPC Advisory was published in the last week:

  • UPC #41-19 Legacy Reserves, Inc. (LGCYQ)
  Disciplinary Actions

FINRA publishes disciplinary actions to remind registered representatives and firms of specific conduct that violates FINRA rules and may result in disciplinary action. FINRA posted the following disciplinary items on the website this week:

  • December 2019 Disciplinary Actions
  • Samuel Lek, former Chief Executive Officer of Lek Securities Corporation, has been permanently barred from the securities industry in all capacities, and Lek Securities was fined $900,000 for violating, among other things, FINRA and Exchange supervisory rules, and Rule 15c3-5 of the Securities Exchange Act of 1934 (the Market Access Rule). The actions were taken by FINRA, along with The NASDAQ Stock Market LLC, the New York Stock Exchange LLC, Cboe Global Markets, and certain of their affiliated Exchanges.

 Upcoming Deadlines and Effective Dates

FINRA Request for Comment

Registered Person Being Named a Customer’s Beneficiary or Holding a Position of Trust
FINRA has issued Regulatory Notice 19-36 to request comment on a proposal to limit a registered person from being named a customer’s beneficiary or holding a position of trust on behalf of a customer. The proposed rule would require the member firm with which the registered person is associated to review and approve the registered person assuming such status or acting in such capacity. The proposed rule would not apply where the customer is a member of the registered person’s “immediate family.” Comments are due by January 10, 2020.

Renewal Program
As a reminder, December 16, 2019, was the payment deadline for Preliminary Statements of registration renewal fees, and Final Statements will be available in E-Bill on January 2, 2020. Failure to pay may result in all registrations terminating, effective December 31, 2019. This annual program simplifies firms' registration renewal process with FINRA and participating regulators by requiring just one payment to FINRA. See Regulatory Notice 19-35 and visit the Annual Renewal Program page for details.


 Education and Compliance Programs

FINRA and the Small Firm Advisory Committee are pleased to announce the recipients of the FINRA Institute at Georgetown Certified Regulatory and Compliance Professional (CRCP)® program Small Firm Scholarships: Jeffrey Weber of Midwestern Securities Trading Co., Jamie Schlag of Gradient Securities, Brett Jensen of TPEG Securities, Nancy Richter of Cutter & Company and Shawn Crouse of North Capital Private Securities. Visit our website for more information on the CRCP® Program. Look for details on the next scholarship application period in late summer 2020.

On Wednesday, January 8, 2020, at 2 p.m. ET, Consolidated Audit Trail, LLC and FINRA CAT, LLC will host a CAT 101 Industry Webinar. This Webinar is designed for Industry Members that may be new to, or less familiar with, CAT and will provide an introduction to the reporting requirements, timelines and mechanics of the Consolidated Audit Trail. Visit the website for more information.

Register today for FINRA's 2020 Cybersecurity Conference on January 14 in New York, NY. This one-day event helps you stay current on today's cybersecurity challenges and the ways in which organizations can understand vulnerabilities and threats, and create resilience against cyberattacks. View the conference agenda for more information.

Register today for the South Region Member Forum on January 23, 2020 in Hollywood, Florida. This one-day event is designed to provide financial professionals associated with FINRA member firms in the South region the opportunity to engage in key discussions with FINRA staff, and connect with industry leaders and peers.

Registration is now open for the North Region Member Forum on February 12, 2020 in Boston, MA. This one-day event will provide financial professionals associated with FINRA member firms in the North region the opportunity to engage in key discussions with FINRA staff and connect with industry leaders and peers.

Free on-demand recordings of sessions from FINRA's 2019 Advertising Regulation Conference are now available to member firms and CRCP graduates.

Reserve your spot at FINRA’s premier event! Register today to receive reduced conference registration rates for the 2020 Annual Conference on May 12–14 in Washington, DC.

Save the Date for these upcoming FINRA events:

  • FINRA Institute at Georgetown Certified Regulatory and Compliance Professional® Program – Week I | July 19–24, 2020 | Washington, DC
  • FINRA Institute at Georgetown Certified Regulatory and Compliance Professional® Program – Week II | November 15–20, 2020 | Washington, DC
  • Small Firm Conference | October 14–15, 2020 | Santa Monica, CA

FINRA logo

 facebook   twitter   linked in

Regulatory Contacts
FINRA By-Laws require member firms to maintain an Internet email account on behalf of their executive representatives. This facilitates firm notification of important publications and information added to the FINRA website.

Firms wishing to change the name or email address of their executive representative or designated assistant should do so through the FINRA Contact System (FCS). See for further information. Requests from executive representatives to be removed from this email notification list cannot be honored.

You received this message because you are currently subscribed to the email subscription list on the FINRA website. To update, sign up for other email lists or cancel your subscription at any time, use our "update information" or "unsubscribe" forms located at