Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - 30th Nov 21
Omicron Covid Wave 4 Impact on Financial Markets - 30th Nov 21
Can You Hear It? That’s the Crowd Booing Gold’s Downturn - 30th Nov 21
Economic and Market Impacts of Omicron Strain Covid 4th Wave - 30th Nov 21
Stock Market Historical Trends Suggest A Strengthening Bullish Trend In December - 30th Nov 21
Crypto Market Analysis: What Trading Will Look Like in 2022 for Novice and Veteran Traders? - 30th Nov 21
Best Stocks for Investing to Profit form the Metaverse and Get Rich - 29th Nov 21
Should You Invest In Real Estate In 2021? - 29th Nov 21
Silver Long-term Trend Analysis - 28th Nov 21
Silver Mining Stocks Fundamentals - 28th Nov 21
Crude Oil Didn’t Like Thanksgiving Turkey This Year - 28th Nov 21
Sheffield First Snow Winter 2021 - Snowballs and Snowmen Fun - 28th Nov 21
Stock Market Investing LESSON - Buying Value - 27th Nov 21
Corsair MP600 NVME M.2 SSD 66% Performance Loss After 6 Months of Use - Benchmark Tests - 27th Nov 21
Stock Maket Trading Lesson - How to REALLY Trade Markets - 26th Nov 21
SILVER Price Trend Analysis - 26th Nov 21
Federal Reserve Asks Americans to Eat Soy “Meat” for Thanksgiving - 26th Nov 21
Is the S&P 500 Topping or Just Consolidating? - 26th Nov 21
Is a Bigger Drop in Gold Price Just Around the Corner? - 26th Nov 21
Financial Stocks ETF Sector XLF Pullback Sets Up A New $43.60 Upside Target - 26th Nov 21
A Couple of Things to Think About Before Buying Shares - 25th Nov 21
UK Best Fixed Rate Tariff Deal is to NOT FIX Gas and Electric Energy Tariffs During Winter 2021-22 - 25th Nov 21
Stock Market Begins it's Year End Seasonal Santa Rally - 24th Nov 21
How Silver Can Conquer $50+ in 2022 - 24th Nov 21
Stock Market Betting on Hawkish Fed - 24th Nov 21
Stock Market Elliott Wave Trend Forecast - 24th Nov 21
Your once-a-year All-Access Financial Markets Analysis Pass - 24th Nov 21
Did Zillow’s $300 million flop prove me wrong? - 24th Nov 21
Now Malaysian Drivers Renew Their Kurnia Car Insurance Online With Fincrew.my - 24th Nov 21
Gold / Silver Ratio - 23rd Nov 21
Stock Market Sentiment Speaks: Can We Get To 5500SPX In 2022? But 4440SPX Comes First - 23rd Nov 21
A Month-to-month breakdown of how Much Money Individuals are Spending on Stocks - 23rd Nov 21
S&P 500: Rallying Tech Stocks vs. Plummeting Oil Stocks - 23rd Nov 21
Like the Latest Bond Flick, the US Dollar Has No Time to Die - 23rd Nov 21
Why BITCOIN NEW ALL TIME HIGH Changes EVERYTHING! - 22nd Nov 21
Cannabis ETF MJ Basing & Volatility Patterns - 22nd Nov 21
The Most Important Lesson Learned from this COVID Pandemic - 22nd Nov 21
Dow Stock Market Trend Analysis - 22nd Nov 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

The Future of FINRA, Regulatory Defense and Bad Stockbrokers

Stock-Markets / Financial Markets 2021 Mar 08, 2021 - 06:56 PM GMT

By: Steve_Barker

Stock-Markets

FINRA stands for the Financial Industry Regulatory Authority. This tends to be the first line of defense against a bad experience with a securities broker, and it also has many other benefits. FINRA is an independent nongovernmental organization that focuses on the root of problems, securities sold to investors, and selling them to investors. It is the single largest independent regulatory body for securities firms operating in the United States. It writes and enforces the rules governing broker-dealer and registered brokers firms in the United States.


The agency oversees about 4,200 brokerage firms, 162,000 branch offices, and 629,000 registered securities representatives. This organization monitors the products and services each of them offers, thereby safeguarding investors and the public's interests in general against fraud and bad practices.

The Future of FINRA          

In recent times the ranks of broker-dealers have been decreasing, so this means FINRA may become an organization in search of a mission in the end. FINRA has not less than 19 offices across the United States and also has over 3,000 employees.

The future of FINRA holds a great deal. FINRA benefits the public in a lot of ways. Its main benefit is to protect investors from abuses and make sure there is ethical conduct within the financial industry. FINRA resources like the Broker Check help investors determine if someone claiming to be a broker is indeed a legit member. Most importantly, FINRA made all these functions more clear by making them all available in one organization.

The Future of Regulatory Defense

The regulatory defense in the stock market is vitally important. With the regulatory defense's help, concerns that used to be challenges for investors, such as the lack of transparency and market manipulation, are no longer basic challenges today. But individually, American investors are now more exposed to stock market fluctuations and are thereby asked to make more financial decisions that will significantly impact their future. You can go here to learn more about the regulations. They are put in place to protect all parties in every transaction.

The Future of Bad Stockbrokers

Digitalization has radically shaped the stockbroking markets. The way stockbrokers interact with potential investors has undergone a massive change in recent times. While the full-service brokers have always enjoyed preference among the investors and a dominant presence, the rate of technology improvement has made the new breed of stockbrokers more developed, known as discount brokers.

However, in recent years, stockbrokers have enjoyed quite a success, though there are multiple challenges which they are gradually overcoming, thankfully with the services of FINRA. But be careful as markets change and also adapt to the swing in trading. The stock markets are quite volatile, and despite the challenges, expert guidance provided by stockbrokers is necessary. With the technological advancement and rise of DIY (do it yourself) customers, stockbrokers have a lot to offer in the coming years.

FINRA also faces criticism, just like almost all other self-regulatory organizations. This article shows that FINRA, regulatory defense, and stockbrokers' future is bright because they must protect investors. Investors are advised to keep believing that any listing on a regulated exchange is a sign of good quality.                                                                    

By Steve Barker

© 2021 Copyright Steve Barker - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in