Don't Forget This CE Requirement, FINRA Warns

The Financial Industry Regulatory Authority is reminding broker-dealers and their registered representatives of the need to complete the Regulatory Element of FINRA’s continuing education requirements by Dec. 31; if not, these individuals will be designated “CE inactive.”

Last November, FINRA adopted changes to its CE and registration rules, which stipulates that  individuals registered with FINRA must complete continuing education requirements each year instead of every three years.

As part of the overhaul, changes relating to the Regulatory Element, Firm Element and the two-year qualification period, became effective on Jan. 1, 2023. Beginning Jan. 1, FINRA Rule 1240 (Continuing Education) requires all registered persons to complete the Regulatory Element annually by Dec. 31.

The amended rule also includes changes to the provisions relating to CE inactive status. ”Specifically, registered persons who fail to complete their Regulatory Element within the prescribed annual deadline of Dec. 31 will be automatically designated as CE inactive by FINRA,” according to a FINRA notice.