{"id":5507,"date":"2013-09-22T00:00:00","date_gmt":"2013-09-22T05:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2013\/09\/finra_broker_bonus_plan_would"},"modified":"2022-05-05T08:40:57","modified_gmt":"2022-05-05T13:40:57","slug":"finra-broker-bonus-plan-would","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/finra-broker-bonus-plan-would\/","title":{"rendered":"FINRA Broker Bonus Plan Would Require Brokers to Disclose Their Recruitment Compensation"},"content":{"rendered":"\n

The Financial Industry Regulatory Authority\u2019s Board of Governors has approved a proposal mandating that brokerage firms disclose how much recruitment compensation they were paid to move to another firm. The rule applies to up-front and back-end bonuses, signing bonuses, accelerated payouts, loans, and transition assistance of $100,000 or greater, as well as future payments upon performance criteria. <\/p>\n

While the $100,000 threshold is not going to be relevant for many independent representatives, since the majority of their packages don\u2019t reach this benchmark, this could impact independent brokerage firms with higher forgivable notes of up to 40% and may hurt their recruitment. <\/p>\n

Now, it is up to the Securities and Exchange Commission to look at the plan and either give its approval or present the proposal to the public for comment.<\/p>\n

Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"

The Financial Industry Regulatory Authority\u2019s Board of Governors has approved a proposal mandating that brokerage firms disclose how much recruitment compensation they were paid to move to another firm. The rule applies to up-front and back-end bonuses, signing bonuses, accelerated payouts, loans, and transition assistance of $100,000 or greater, as well as future payments upon […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3783,3739],"tags":[],"class_list":["post-5507","post","type-post","status-publish","format-standard","hentry","category-broker-misconduct","category-finra"],"yoast_head":"\nFINRA Broker Bonus Plan Would Require Brokers to Disclose Their Recruitment Compensation — Investor Lawyers Blog — September 22, 2013<\/title>\n<meta name=\"description\" content=\"The Financial Industry Regulatory Authority\u2019s Board of Governors has approved a proposal mandating that brokerage firms disclose how much recruitment — September 22, 2013\" \/>\n<meta name=\"robots\" content=\"index, follow, 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