What is FINRA?
FINRA is an acronym for the Financial Industry Regulatory Authority, a US practitioner-based self-regulatory organisation that supervises the business conduct of dealers and brokers both with each other and with the investing public.
Where have you heard about FINRA?
Media allegations of misconduct on financial markets may give rise to talk of action by FINRA. As an investor, you may be made aware that your broker is registered with FINRA.
What you need to know about FINRA...
FINRA was created in 2007 from the merger of the New York Stock Exchange regulatory committee and the National Association of Securities Dealers, a body set up in 1939. FINRA is an independent, non-government body but is registered with the Securities and Exchange Commission, the statutory stock-market regulator.
It oversees 4,500 firms and about half a million representatives in the securities business. It describes its task as "making sure the broker-dealer industry operates fairly and honestly", and says it levied fines totalling $176.3 million (£142 million) in 2016.
All firms that offer professional training, testing and licensing of registered brokers is overseen by FINRA.