Registration and Post-Registration Requirements

What this video covers

• Why broker-dealers must register with both the Securities and Exchange Commission (SEC) plus a self-regulatory organization (SRO) like the Financial Industry Regulatory Authority (FINRA) AND at the state level, unlike investment advisers who register with one or the other
• How the no-place-of-business exclusion works through two independent routes: the institutional route and the existing-customer route, and why a retail in-state transaction defeats both
• What Canadian limited registration actually requires: filing paperwork, paying fees, and annual renewal, distinguishing it from a true exclusion
• Where Form BD (Uniform Application for Broker-Dealer Registration) is filed: the Central Registration Depository (CRD), not EDGAR, and what disciplinary history must be disclosed
• Which records fall under the 6-year retention rule versus the 3-year rule, and the requirement that the first 2 years of any record be readily accessible
• How capacity determines compensation disclosure on trade confirmations: commission for agent transactions, markup or markdown for principal transactions
• Why the Securities Investor Protection Corporation (SIPC) membership is only disclosed conditionally, when the firm is NOT a member