These days, broker-dealers and RIAs are looking for any excuse not to hire you. That is, if you have any negative information on your U5. Any at all. Why not? There’s plenty of people who want that job you’re after, and it’s a buyer’s market.
So, if you want to work in this business, you either need to get a lawyer to help you clean up your U5, or you need to keep your U5 as clean as it can be.
To paraphrase Navin’s dad in The Jerk: “The Lord loves a workin’ man. Don’t trust management. See a lawyer and get rid of it.”
Management will not tell you how to avoid a ding on your U5. They are waiting for you to screw up. In fact, they’ll help you do that by giving you bad advice. Call a lawyer if in doubt about what to report to your firm.
Here are some critical areas:
- Outside business activities
- Tax liens
- Criminal charges
- Customer complaints
- Loans to or from customers
If any of these unfortunate issues pop up in your life, call a lawyer before you even think of talking to management. Or, you’ll hear stuff like, “Oh, that’s no big deal. You don’t have to report that.”
THE HELL YOU DON’T!
Most of these issues are seen as cardinal sins by FINRA Enforcement, the SEC, and/or state regulators, and can get you permanently barred from the securities industry.
Call the Law Offices of Christopher H. Tovar, PLLC today at (832) 370-3908.
