Question

When a new associated person is hired at a broker-dealer firm, which of the following is responsible for seeing that Form U4 is completed and filed?

1) The Securities and Exchange Commission (SEC)
2) The new employee
3) The local Financial Industry Regulatory Authority (FINRA) district office
4) The employing broker-dealer firm

Answer 1

The employing broker-dealer firm is responsible for seeing that Form U4 is completed and filed.

Step-by-step explanation:

When a new associated person is hired at a broker-dealer firm, it is the responsibility of the employing broker-dealer firm to see that Form U4 is completed and filed. Form U4 is a Uniform Application for Securities Industry Registration or Transfer, which is required for individuals seeking registration in the securities industry. This form collects information about the individual's background, employment history, and any disciplinary actions.