Page 45 - Investment Advisor November 2022

THE PLAYING FIELD

By Melanie Waddell

Get Ready: FINRA’s New CE Rules Start

in January

The regulatory element will now be an annual requirement — and will
likely zero in on Reg BI.

s a part of a revamp of the Program kicked in on March 15. All
Financial Industry Regulatory other changes, including those related to
A Authority’s continuing educa- the Regulatory Element, Firm Element
tion program, broker-dealers and their and the two-year qualification period,
reps face new CE requirements in will become effective Jan. 1, 2023.
January — with courses likely to drill Patricia Monterosso, director of
down on the Securities and Exchange CRED Continuing Education Services
Commission’s Regulation Best Interest. at FINRA, said on a recent FINRA
Last November, FINRA adopted unscripted podcast that nearly 15,000
changes to its CE and registration rules, individuals have enrolled in the MQP
which included, among other mea- program. “Beginning in July of this year,
sures, requiring those registered with those individuals received their annu-
FINRA to complete continuing edu- al CE Learning Plans for 2022, which
cation requirements yearly instead of includes a regulatory element that is
every three years. As FINRA set out similar to what a registered person
The changes relating in Regulatory Notice 21-41, the amend- would receive, and additional training
ments to Rules 1210 and 1240:
courses that are part of a practical ele-
to the Maintaining • Provide eligible individuals who ment,” Monterosso said.
Qualifications Program terminate any of their representa- The MQP program allows people to
and the Financial tive or principal registration cat- maintain their series exams — Series 7,
egories the option of maintaining
Series 24 and the like — for five years
Services Affiliate their qualification for any termi- instead of just two years, Monterosso
Waiver Program kicked nated registration categories by explained, as long as they complete
completing annual CE through
some CE.
in on March 15. All a new program, the Maintaining Nicole Lefort, associate director of
Qualifications Program (MQP);
other changes, including • Require registered persons to com- Continuing Education Content, added
on the podcast that “the regulatory ele-
those related to the plete the CE Regulatory Element ment will now be an annual require-
Regulatory Element, annually for each representative or ment. New courses will be provided at
Firm Element and the principal registration category that the beginning of each year and indi-
viduals will have a Dec. 31 deadline
they hold; and
two-year qualification • Expressly allow firms to consider to complete.”
As for the content, Lefort added, “we
period, will become other required training toward sat- are producing courses that are relevant
isfying an individual’s annual CE
effective Jan. 1, 2023. Firm Element and extend the Firm and tailored to registration categories.
Element requirement to all regis- We will be providing training specific to
tered persons. a particular audience, which allows us
The changes relating to the MQP and to emphasize what individuals need to
the Financial Services Affiliate Waiver know based on their registration or reg-

NOVEMBER 2022 INVESTMENT ADVISOR 43