Friday, November 23, 2012

Retained Associates License

Hang a license?

FINRA recently proposed a new registration category called "Retained Associates" that would allow a currently registered person to retain their license for up to 10 years if they remain with the same firm.

While this would be useful for folks that assume operational roles, it has limited utility to the hybrid RIA, unless the RIA was also the owner of the broker-dealer.

This is also a complete 180 from FINRA's current rules that prevent the "hanging" of a license. In our opinion, this is just another move to help FINRA stay in the game.

We will continue to monitor this proposal and keep you informed.

The AdvisorAssist Team


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