Finra Exam Series-6 Topic 10 Question 79 Discussion

Actual exam question for Finra's Series-6 exam

Question #: 79
Topic #: 10

[All Series-6 Questions]

Upon receiving a complaint about one of its member firms, FINRA may:

i. require any person associated with the member firm to provide information to FINRA and to testify under oath.

ii. inspect and copy the books, records and accounts of the member firm.

iii. share information obtained from its investigation of a member firm with a foreign regulatory agency.

AII only

BI and II only

CII and III only

DI, II, and III

Show Suggested Answer

Suggested Answer: D

Upon receiving a complaint about one of its member firms, FINRA may require any person associated with the member firm to provide information and to testify under oath; it may inspect and copy the books, records, and accounts of the member firm; and it may share information obtained from its investigation of a member firm with a foreign regulatory agency. The foreign regulator must agree to treat the information confidentiality, and the agreement with the foreign regulator is predicated on two requirements: ''(A) the other regulator party to the agreement must have jurisdiction over common regulatory matters; and (B) the agreement must require the other regulator to reciprocate and share with FINRA information of regulatory interest or concern to FINRA.''

by Jina at Jun 03, 2024, 04:20 PM

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Carylon

5 months ago

The correct answer is D, obviously. FINRA needs to be able to do all that and more, like mind-reading and time travel, to really keep these financial firms in line. Next up, a question about how many angels can dance on the head of a pin.

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Pamela

4 months ago

D) I, II, and III

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Sheridan

4 months ago

C) II and III only

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Desiree

5 months ago

B) I and II only

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Glen

5 months ago

A) II only

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Veronika

5 months ago

Option D is the way to go. FINRA needs to have all the tools in its toolbox to keep the financial industry honest. Anything less would be like trying to build a house with a spork.

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Donette

5 months ago

Sharing information with foreign regulatory agencies can also help prevent misconduct from spreading globally.

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Tamesha

5 months ago

I agree, having the ability to require testimony and inspect records is crucial for effective regulation.

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Caprice

5 months ago

Option D is the way to go. FINRA needs to have all the tools in its toolbox to keep the financial industry honest.

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Jina

5 months ago

So, the answer would be D) I, II, and III.

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Hortencia

5 months ago

I believe they can also share information with foreign regulatory agencies.

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Sunny

5 months ago

Yes, they can also inspect and copy the firm's books and records.

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Ira

5 months ago

D, for sure. FINRA can't do its job if it can't get info, look at records, and share findings with other agencies. Anything less would be like having a cop with one hand tied behind their back.

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Sherron

5 months ago

The correct answer has to be D. FINRA needs all those powers to effectively investigate and regulate its member firms.

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Thersa

6 months ago

I think the correct answer is D. FINRA has the authority to do all three: require information and testimony, inspect records, and share information with foreign regulators.

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