Sales contests finra
"nasd rules are designed to prevent brokers from placing their interest in receiving lucrative rewards over the investment needs of their customers.
Proposed Rule 3221 would consolidate current non-cash compensation provisions into one rule, and cover any security.Nasd also charged Morgan Stanley and the head of its retail sales division, Bruce.Lay chairpeople will continue to have a requirement of serving on three arbitration panels before they can seek the higher-paying chairperson role.Alonso, who led the effort to promote msdw proprietary mutual funds, failed to supervise the sales force to prevent the sales contest violations in question.They provided rewards to the top-producing financial advisors in their branches.Former branch managers corroborated this policy.Shaikun, Associate General Counsel, Office of General Counsel, Regulatory Policy and Oversight, at (202) 728-8451.In enacting the non-cash compensation rules, the SEC and nasd recognized that the types of sales contests seen in this case increased the potential for free download windows 8 1 pro activator investors to be steered into investments that are less suitable than some alternatives.
In a video summarizing last weeks board meeting, Finra Chief Executive Richard Ketchum congratulated the securities industry for moving away mostly from product-specific sales contests.
May 9, 2016, the Financial Industry Regulatory Authority plans to tighten rules governing non-cash incentives that broker-dealers use to juice product sales and to raise the value of incidental gifts advisors can give clients or receive from them.
Nasd proposes to expand the prohibitions of non-cash compensation to the sale and distribution of any security or type of security, rather than just those enumerated above.
The estimated value of the contest rewards totaled 1 million.Rowe Price Investment Services, Inc.Regarding business entertainment, twin city discount granite coon rapids proposed Rule 3222 would require each member to adopt written policies and supervisory procedures tailored to their business needs.Finra would also increase the threshold of the non-cash compensation rule gifts exception from 100 to 175 per person, per year, so long as the gift is not preconditioned on the achievement of a sales target, as defined in the proposed rule.PDF -.76 KB 6/24/2005 Mutual Trust.2 million for conducting prohibited sales contests for its brokers and managers to promote the sale of Morgan Stanley mutual funds and a selected few variable annuities.The prohibited sales contests were a by-product of that pressure.Questions concerning this Notice may be directed to Thomas.