Compliance for the Securities Industry - Evening

This course provides a thorough examination of the regulatory bodies and regulations under which the securities industry operates in the United States. The structure and function of the legal and compliance department of a broker/dealer is examined in light of this overall regulatory environment.

No sessions currently available. Contact client services to get the next available date.
CPE CREDITS
20.0
No advance preparation required.
Students will be able to:
  • Students will be able to demonstrate a practical understanding of the following:
  • Regulations of securities markets, SROs
  • Broker/Dealer Guidelines
  • Knowledge of Capital Markets
  • Sales Practice/Supervision
  • Supervision (Federal and SRO schemes)
  • Compliance
  • Brokerage Operations - Evening
    • Scheduling Note
    There will be no class on Thursday, April 21, 2011.
    Session 1
    Explanation of course
    • Regulatory agencies
    • Legal relationship between broker and customer
    • Liability of broker for acts of employee

    Session 2
    Churning
    • Measure of Damages
    • How to analyze an account

    Causes of large unsecured deficits

    • Check kiting
    • Trading schemes

    Proceedings

    • NYSE-ASE-RR
    • NASD

    Session 3
    Opening and Approval of Accounts
    • Registration of Options Principles
    • Approval Required

    Duties to Supervise

    • Written Supervisory Procedures
    • Senior Registered Principal

    Options Strategies

    • Purchase Options
    • Covered-Calls-Cash & Margin

    Session 4
    Restricted and Control Securities
    • Acquisition Forms
    • Qualitative vs. Quantitative Factors

    1933 Act Between Rules 144&145

    • Holding Periods
    • Pooling vs. Purchase Accounting

    Use of Derivatives Securities

    • Pooling vs. Purchase Accounting
    • Role of Broker/Dealer in Risk Management

    Session 5
    Customer accounts
    • Cash Accounts
    • Margin accounts

    Margining and Maintenance of:

    • Municipal bonds-positions
    • Repurchase agreements

    Session 6
    Blue sky
    • Broker's licensing
    • Security qualifications

    Special Rules

    • Fidelity Bonds
    • Supervision and Control of Offices

    Session 7
    Oral and Written offers
    • Section 5 of the securities Act of 1933
    • Registration statement

    Limitation of firm activities while engaged in distribution

    • Watch List

    Confirmation Disclosure

    • Soft dollars

    Session 8
    Composition
    • Centralized
    • Regionalized

    Surveillance

    • Equities
    • Employee accounts

    Customer complaints

    • Responses
    • Regulatory

    Advertising and Sales Literature

    • Review and approval
    • Special Products

    Session 9
    The Regulatory Framework
    • Securities Exchange Act of 1934
    • NASD Rule 3010
    • NYSE Rule 342

    Compliance Techniques

    • Churning Reviews
    • Solicitation Plans
    • Chinese Wall Policy
    • Internal Audit

    Session 10
    Options
    • Registered Type
    • Statutory vs. Non-statutory

    Credit ( Margin) extended against:

    • Control Securities
    • Purpose vs. Non-purpose Loans

    FINAL EXAMINATION

    Clients who register for this course will receive a complimentary 4-month subscription to FT.com. The Financial Times is the world's most respected financial newspaper, providing a broad assessment on finance, business and the industrial sector. The move to the electronic version follows an ongoing review of our environmental responsibilities as a global business and as part of the Pearson group. FT.com also has features that are not available in hard copy, such as: Special Reports, Alphaville, editor blogs, education sections and much more! Subscriptions will start within 6-8 weeks of the start of class and are limited to one subscription per client. (Please note: as of May 1, 2011, the electronic subscription replaces the hard-copy 3-month Financial Times subscription.)

    Lunch is included for all students taking day classes.