Activities of Unregistered Persons

What this video covers

• The four activities unregistered persons are strictly prohibited from performing: receiving commissions, soliciting customers, taking orders, and executing transactions
• Why entering a trade ticket into the firm's system is executing a transaction, even if the action seems harmless or clerical
• The distinction between describing products in general terms and making a specific recommendation, and which side of that line unregistered staff must stay on
• Why trailing commissions paid to former registered representatives are permitted, and what condition must be true for those payments to remain legal
• The one test that decides whether any payment requires registration: is it tied to a specific new transaction or solicitation
• Why merely working at a brokerage firm is not itself a violation, and how exam questions bait you into thinking location equals guilt