Municipal Securities Supervision
Chapters in this video
- 0:00 MSRB vs FINRA: who watches the municipal pool
- 1:28 Series 53 vs Series 52: supervisor or rep
- 2:14 When a Series 24 can supervise municipal activity
- 2:51 WSPs and the daily transaction review trap
- 3:56 Discretionary municipal accounts still need daily review
- 4:41 The annual review and MSRB scope check
- 5:36 Rapid-fire exam recap
What this video covers
- The difference between Financial Industry Regulatory Authority (FINRA) supervision (firm-wide) and MSRB supervision (municipal activities only)
- Why the Series 53 is the Municipal Securities Principal exam and the Series 52 is the representative exam, and how the test swaps the two to trip you up
- When a Series 24 General Securities Principal can step in and supervise municipal activity as a valid backup to the Series 53
- What the WSPs must specifically address: account opening, correspondence review, internal inspections, and the office of municipal supervisory jurisdiction copy requirement
- The daily review rule for every municipal securities transaction, including every trade in a discretionary account, and why weekly or monthly answers are bait
- The at-least-annual review obligation, and how it must be reasonably designed to detect and prevent violations of MSRB rules and the Securities Exchange Act
- Which rule applies to which scope when a question pits MSRB supervision against FINRA supervision
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