Series 79: Know Your Customer

Taken from our Series 79 Top-off Online Guide

Know Your Customer

FINRA Rule 2090 requires every member to use “reasonable diligence” to “know (and retain) the essential facts” about every customer and every person acting on behalf of a customer. This “Know Your Customer” rule is intended to avoid the problem of a broker-dealer recommending an investment that is inappropriate for a particular customer.

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