Series 6 registered representatives must abide by rules relating to sales presentations and materials contained in FINRA Conduct Rules, Securities Act of 1933, Securities Exchange Act of 1934 and the Investment Company Act of 1940.

FINRA Rule 2210 - Communications with the Public
 

  1. Definitions

    For purposes of this Rule and any interpretation thereof, "communications with the public" consist of retail communication and Institutional communication.
    1. Some communication with the public is available to anyone such as an "Advertisement." Any material, other than an independently prepared reprint and institutional sales material, that is published, or used in any electronic or other public media, including any Web site, newspaper, magazine or other periodical, radio, television, telephone or tape recording, videotape display, signs or billboards, motion pictures, or telephone directories (other than routine listings).
       
    2. Other forms of communications are sent to a targeted audience and is  Any written or electronic communication, other than an advertisement, independently prepared reprint, that is generally distributed or made generally available to customers or the public, including circulars, research reports, market letters, performance reports or summaries, form letters, telemarketing scripts, seminar texts, reprints (that are not independently prepared reprints) or excerpts of any other advertisement, sales literature or published article, and press releases concerning a member's products or services.

 

Retail communication is defined as any written communication distributed or made available to 25 or more retail investors in a 30 day period. The communication may be distributed in hard copy or in electronic formats. The definition of a retail investor is any investor who does not meet the definition of an institutional investor.  Retail communications now contain all components of advertising and sales literature. All retail communications must be approved by a registered principal prior to first use.

Intuitional communication is defined as any written communication distributed or made available exclusively to institutional investors. The communication may be distributed in hard copy or in electronic formats. Institutional communications do not have to be approved by a principal prior to first use so long as the member has established policies and procedures regarding the use of institutional communications and has trained its employees on the proper use of institutional communication.

FINRA Conduct Rule 2211

Related Articles
  1. Financial Advisor

    Finra Releases Q&A Guidance on Recruiting

    FINRA has issued further guidance on its recruiting practices rule, which includes clarifying the definition of a former customer.
  2. Investing

    Global Communications: Exploring Revenue Trends and Fundamentals

    Explore geographical communications sector revenue data to determine which countries have the highest exposure and what factors are driving trends.
  3. Tech

    Advisors: Are You Managing This Big Compliance Risk?

    A new study finds that supervision of electronic communications at financial advisory firms is falling short, putting them at risk.
  4. Insights

    FINRA: How It Protects Investors

    Find out the history of FINRA, and how it's organized to monitor the markets and protect investors.
  5. Small Business

    Understanding Marketing

    Marketing includes all of the activities of a company associated with buying and selling a product or service.
  6. Financial Advisor

    Investigating The Securities Police

    Learn about the history of FINRA and how this organization protects investors.
  7. Financial Advisor

    Advisors: What to Know Before You Text

    Texting is becoming more popular between clients and financial professionals, but compliance can be tricky. Here's what to know before advisors text.
  8. Investing

    Top 5 Communication Stocks of 2016 (T, CSCO)

    Note how the fundamentals of communication stocks compare with industry averages, when searching for portfolio candidates that pay strong dividends.
  9. Financial Advisor

    Why Financial Advisor Background Checks Are Vital

    An alliance of public interest groups is pressuring FINRA to broaden its BrokerCheck tool.
  10. Financial Advisor

    RIAs: Watch the SEC’s Advertising Reg Fine Print

    Advisors need to understand the SEC's advertising rules to avoid potential liability and enforcement actions.
Frequently Asked Questions
  1. Why Do Most of My Mortgage Payments Start Out as Interest?

    Fear not: Over the life of the mortgage, the portions of interest to principal will change.
  2. What is the difference between secured and unsecured debts?

    The differences between secured and unsecured debt, and how banks buffer risks associated with each type of loan through ...
  3. How Many Times has Warren Buffett Been Married?

    Warren Buffett has been married twice in his life, but the circumstances surrounding the marriages were unconventional.
  4. What's the smallest number of shares of stock that I can buy?

    Many people would say the smallest number of shares an investor can purchase is one, but the real answer is not as straightforward. ...
Trading Center