SEC approves Finra rule to rein in rogue brokerages
The rule requires firms with a history of misconduct or that employ a high number of reps with disciplinary records to deposit cash into an account controlled by the Financial Industry Regulatory Authority Inc.
The SEC approved Friday a Finra rule designed to rein in brokerages with a history of misconduct or that employ a high number of registered representatives with disciplinary records.
The rule imposes additional capital obligations on high-risk firms by requiring them to deposit cash or qualified
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