80 FR 64456 - Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to the New Securities Trader Qualification Examination (Series 57)

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 205 (October 23, 2015)

Page Range		64456-64458
FR Document		2015-26912
Federal Register, Volume 80 Issue 205 (Friday, October 23, 2015)
[Federal Register Volume 80, Number 205 (Friday, October 23, 2015)]
[Notices]
[Pages 64456-64458]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-26912]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-76188; File No. SR-FINRA-2015-042]


Self-Regulatory Organizations; Financial Industry Regulatory 
Authority, Inc.; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change Relating to the New Securities Trader 
Qualification Examination (Series 57)

October 19, 2015.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'' or ``SEA'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby 
given that on October 13, 2015, Financial Industry Regulatory 
Authority, Inc. (``FINRA'') filed with the Securities and Exchange 
Commission (``SEC'' or ``Commission'') the proposed rule change as 
described in Items I, II, and III below, which Items have been prepared 
by FINRA. FINRA has designated the proposed rule change as constituting 
a ``non-controversial'' rule change under paragraph (f)(6) of Rule 19b-
4 under the Act,\3\ which renders the proposal effective upon receipt 
of this filing by the Commission. The Commission is publishing this 
notice to solicit comments on the proposed rule change from interested 
persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    FINRA is filing the content outline and selection specifications 
for the new Securities Trader qualification examination (Series 57).\4\ 
FINRA is not proposing any textual changes to the By-Laws, Schedules to 
the By-Laws or Rules of FINRA.
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    \4\ FINRA also is establishing the Series 57 question bank. 
FINRA is submitting this filing for immediate effectiveness pursuant 
to Section 19(b)(3)(A) of the Act and Rule 19b-4(f)(6) thereunder, 
and is not filing the question bank. See Letter to Alden S. Adkins, 
Senior Vice President and General Counsel, NASD Regulation, from 
Belinda Blaine, Associate Director, Division of Market Regulation, 
SEC, dated July 24, 2000. The question bank is available for SEC 
review.
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    The Series 57 content outline is attached.\5\ The Series 57 
selection specifications have been submitted to the Commission under 
separate cover with a request for confidential treatment pursuant to 
SEA Rule 24b-2.\6\
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    \5\ The Commission notes that the content outline is attached to 
the filing, not to this Notice.
    \6\ 17 CFR 240.24b-2.
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    The text of the proposed rule change is available on FINRA's Web 
site at http://www.finra.org, at the principal office of FINRA and at 
the Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, FINRA included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. FINRA has prepared summaries, set forth in sections A, 
B, and C below, of the most significant aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    Section 15A(g)(3) of the Act \7\ authorizes FINRA to prescribe 
standards of training, experience, and competence for persons 
associated with FINRA members. In accordance with that provision, FINRA 
has developed examinations that are designed to establish that persons 
associated with FINRA members have attained specified levels of 
competence and knowledge, consistent with applicable registration 
requirements under FINRA rules.
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    \7\ 15 U.S.C. 78o-3(g)(3).
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    The Commission recently approved a proposed rule change to amend 
NASD Rule 1032(f) (Limited Representative--Equity Trader) to replace 
the Equity Trader registration category and qualification examination 
(Series 55) with the Securities Trader registration category and 
qualification examination (Series 57).\8\ The rule provides that each 
associated person of a member who is included within the definition of 
``representative'' in NASD Rule 1031 (Registration Requirements) is 
required to register with FINRA as a Securities

[[Page 64457]]

Trader if, with respect to transactions in equity (including equity 
options), preferred or convertible debt securities effected otherwise 
than on a securities exchange, such person is engaged in proprietary 
trading, the execution of transactions on an agency basis or the direct 
supervision of such activities.\9\ In addition, NASD Rule 1032(f) 
provides that in order to register as a Securities Trader, an applicant 
must pass the Series 57 examination. The Series 57 examination will 
qualify an associated person to function as a Securities Trader. There 
is no prerequisite registration requirement for Securities Trader 
registration. An associated person registered as a Securities Trader 
will not be qualified to function in any other registered capacity, 
unless he or she is qualified and registered in that other registration 
category.\10\ For instance, a person registered as a Securities Trader 
will not be able to engage in any retail or institutional sales 
activities, unless he or she is qualified and registered in the 
appropriate registration category, such as a General Securities 
Representative.
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    \8\ See Securities Exchange Act Release No. 75783 (August 28, 
2015), 80 FR 53369 (September 3, 2015) (Order Approving File No. SR-
FINRA-2015-017) (``Approval Order'').
    \9\ There is an exception from the Securities Trader 
registration requirement for any associated person of a member whose 
trading activities are conducted principally on behalf of an 
investment company that is registered with the SEC pursuant to the 
Investment Company Act of 1940 and that controls, is controlled by, 
or is under common control with the member.
    \10\ See NASD Rule 1032(f).
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    In addition, the Commission approved amendments to NASD Rule 
1022(a) (General Securities Principal) to establish a Securities Trader 
Principal registration category and require each associated person of a 
member who is included within the definition of ``principal'' in NASD 
Rule 1021 (Registration Requirements) with supervisory responsibility 
over the securities trading activities described in NASD Rule 1032(f), 
to qualify and register as a Securities Trader Principal.\11\ To 
qualify for registration as a Securities Trader Principal, an 
associated person must be registered as a Securities Trader and pass 
the General Securities Principal qualification examination (Series 24). 
An associated person registered as a Securities Trader Principal will 
not be eligible to register as a General Securities Principal unless 
the person passes the appropriate prerequisite examination for General 
Securities Principal registration, such as the Series 7 examination. In 
this regard, NASD Rule 1022(a) provides that a person qualified and 
registered as a Securities Trader Principal may only have supervisory 
responsibility over the activities specified in NASD Rule 1032(f), 
unless the person is separately qualified and registered in another 
appropriate principal registration category, such as the General 
Securities Principal registration category.
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    \11\ See Approval Order, supra note 8.
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    FINRA is expecting the national securities exchanges to file 
similar proposed rule changes to replace the Proprietary Trader 
qualification examination (Series 56) with the Series 57 examination in 
their respective registration rules relating to securities trading 
activities. Further, the Series 57 examination will replace the Series 
56 examination for those exchange registration categories, such as the 
Proprietary Trader Principal registration category, where the Series 56 
examination is currently an acceptable prerequisite.
    FINRA developed the Series 57 examination in consultation with a 
committee of industry representatives and representatives of several 
exchanges. The examination is based on the current job functions of a 
Securities Trader and includes elements of the Series 55 and 56 
examinations. The Series 57 content outline covers the laws, rules and 
regulations relevant to securities trading as well as the functions and 
associated tasks performed by a Securities Trader.
Series 57 Content Outline
    The Series 57 content outline is divided into four major job 
functions that are performed by a Securities Trader. The following are 
the four major job functions, denoted Function 1 through 4, with the 
associated number of questions:
    Function 1: Market Overview and Products, 22 questions;
    Function 2: Engaging in Professional Conduct and Adhering to 
Regulatory Requirements, 12 questions;
    Function 3: Trading Activities, 79 questions; and
    Function 4: Maintaining Books and Records and Trade Reporting, 12 
questions.
    The number of questions assigned to each major job function 
reflects the key tasks performed by a Securities Trader.
    Each function also includes specific tasks describing activities 
associated with performing that function. There are three tasks (1.1-
1.3) associated with Function 1; two tasks (2.1-2.2) associated with 
Function 2; three tasks (3.1-3.3) associated with Function 3; and two 
tasks (4.1-4.2) associated with Function 4.\12\ By way of example, one 
such task, Task 4.2, relates to creating, retaining, and reporting 
required records of orders and transactions.\13\ Further, the content 
outline lists the knowledge required to perform each function and 
associated tasks (e.g., in connection with Task 4.2, large trader ID 
and related reporting and monitoring requirements and order execution/
routing information).\14\ In addition, where applicable, the content 
outline lists the laws, rules and regulations a candidate is expected 
to know to perform each function and associated tasks.\15\ These 
include applicable federal securities laws, as well as FINRA and other 
self-regulatory organization rules and regulations. FINRA conducted a 
job analysis study of Securities Traders, which included the use of a 
survey, in developing each function and associated tasks and the 
required knowledge set forth in the content outline. The functions and 
associated tasks reflect the day-to-day activities of a Securities 
Trader. The Series 57 selection specifications and question bank cover 
the topics in the content outline.
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    \12\ See Exhibit 3a, Outline Pages 6-13. The Commission notes 
that all references to Exhibit 3a refer to Exhibit 3a to the 
proposed rule change.
    \13\ See Exhibit 3a, Outline Page 13.
    \14\ See Exhibit 3a, Outline Page 13.
    \15\ See Exhibit 3a, Outline Pages 14-36.
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    The content outline also includes sample questions \16\ and 
reference materials.\17\ In the preface, the content outline includes, 
among other things: (1) A table of contents; (2) details regarding the 
purpose of the examination; (3) eligibility requirements; (4) the 
application procedures; (5) information regarding the structure of the 
examination; (6) details regarding the development and maintenance of 
the content outline and examination; (7) information regarding the 
administration of the examination; (8) an explanation that the passing 
score is determined by FINRA based on a number of factors including 
industry trends, historical exam performance and evaluations of the 
content difficulty by a committee of industry professionals, using a 
standard setting procedure, and that a statistical adjustment process 
known as equating is used in scoring examinations; and (9) an 
explanation that each candidate will receive a score report at the end 
of the test session, which will indicate a pass or fail status and 
include a score profile listing the candidate's performance on each 
major content area covered on the examination.\18\
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    \16\ See Exhibit 3a, Outline Page 37.
    \17\ See Exhibit 3a, Outline Page 38.
    \18\ See Exhibit 3a, Outline Pages 2-5.
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    The number of questions on the Series 57 examination will be 125 
scored

[[Page 64458]]

multiple-choice questions,\19\ and candidates will have three hours and 
45 minutes to complete the examination. The passing score will be 70 
percent.
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    \19\ Consistent with FINRA's practice of including ``pretest'' 
items on qualification examinations, which is designed to ensure 
that new examination items meet acceptable testing standards prior 
to use for scoring purposes, the examination includes 10 additional, 
unidentified pretest items that do not contribute towards the 
candidate's score. Therefore, the examination actually consists of 
135 items, 125 of which are scored. The 10 pretest items are 
randomly distributed throughout the examination.
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Availability of Content Outline
    The Series 57 content outline is available on FINRA's Web site, at 
http://www.finra.org/industry/qualification-exams.
    FINRA is filing the proposed rule change for immediate 
effectiveness. FINRA proposes to implement the Series 57 examination on 
January 4, 2016. FINRA will announce the proposed rule change and the 
implementation date in a Regulatory Notice.
2. Statutory Basis
    FINRA believes that the proposed rule change is consistent with the 
provisions of Section 15A(b)(6) of the Act,\20\ which requires, among 
other things, that FINRA rules must be designed to prevent fraudulent 
and manipulative acts and practices, to promote just and equitable 
principles of trade, and, in general, to protect investors and the 
public interest, and Section 15A(g)(3) of the Act,\21\ which authorizes 
FINRA to prescribe standards of training, experience, and competence 
for persons associated with FINRA members. FINRA believes that the 
proposed rule change furthers these purposes by establishing the 
qualification examination that individuals, including associated 
persons of FINRA members, must pass to register and function as 
Securities Traders and Securities Trader Principals. The examination is 
intended to safeguard the investing public by helping to ensure that 
individuals registering as Securities Traders, as well as those 
responsible for the supervision of securities trading activities, are 
competent to perform their job functions.
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    \20\ 15 U.S.C. 78o-3(b)(6).
    \21\ 15 U.S.C. 78o-3(g)(3).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    FINRA does not believe that the proposed rule change will result in 
any burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act. The new examination aligns with 
the functions and associated tasks currently performed by associated 
persons engaged in securities trading and tests knowledge of the laws, 
rules, regulations and skills relevant to those functions and 
associated tasks.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the foregoing proposed rule change does not: (i) 
Significantly affect the protection of investors or the public 
interest; (ii) impose any significant burden on competition; and (iii) 
become operative for 30 days from the date on which it was filed, or 
such shorter time as the Commission may designate, it has become 
effective pursuant to Section 19(b)(3)(A) of the Act \22\ and Rule 19b-
4(f)(6) thereunder.\23\
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    \22\ 15 U.S.C. 78s(b)(3)(A).
    \23\ 17 CFR 240.19b-4(f)(6).
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    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the Commission shall institute proceedings to 
determine whether the proposed rule should be approved or disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-FINRA-2015-042 on the subject line.

Paper Comments

     Send paper comments in triplicate to Robert W. Errett, 
Deputy Secretary, Securities and Exchange Commission, 100 F Street NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-FINRA-2015-042. This 
file number should be included on the subject line if email is used. To 
help the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549, on official business days between the hours of 10 
a.m. and 3 p.m. Copies of such filing also will be available for 
inspection and copying at the principal office of FINRA. All comments 
received will be posted without change; the Commission does not edit 
personal identifying information from submissions. You should submit 
only information that you wish to make available publicly. All 
submissions should refer to File Number SR-FINRA-2015-042 and should be 
submitted on or before November 13, 2015.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\24\
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    \24\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2015-26912 Filed 10-22-15; 8:45 am]
 BILLING CODE 8011-01-P
64456 Federal Register / Vol. 80, No. 205 / Friday, October 23, 2015 / Notices

II. Notice of Filings Global Direct Contracts from the Laws, Schedules to the By-Laws or
The Commission establishes Docket Competitive Product List, pursuant to Rules of FINRA.
39 U.S.C. 3642. Documents pertinent to The Series 57 content outline is
No. MC2016–7 to consider the Request
this request are available at http:// attached.5 The Series 57 selection
pertaining to the removal of Global
www.prc.gov, Docket No. MC2016–7. specifications have been submitted to
Direct Contracts from the competitive
the Commission under separate cover
product list. Stanley F. Mires, with a request for confidential treatment
Interested persons may submit Attorney, Federal Compliance. pursuant to SEA Rule 24b–2.6
comments on whether the Postal [FR Doc. 2015–26906 Filed 10–22–15; 8:45 am] The text of the proposed rule change
Service’s filings in the captioned docket BILLING CODE 7710–12–P is available on FINRA’s Web site at
are consistent with the policies of 39 http://www.finra.org, at the principal
U.S.C. 3632, 3633, or 3642, 39 CFR part office of FINRA and at the
3010, 39 CFR part 3015, and 39 CFR Commission’s Public Reference Room.
part 3020, subpart B and subpart E. SECURITIES AND EXCHANGE
Comments are due no later than October COMMISSION II. Self-Regulatory Organization’s
26, 2015. The public portions of the Statement of the Purpose of, and
[Release No. 34–76188; File No. SR–FINRA– Statutory Basis for, the Proposed Rule
filings can be accessed via the 2015–042]
Commission’s Web site (http:// Change
www.prc.gov). Self-Regulatory Organizations; In its filing with the Commission,
The Commission appoints James F. Financial Industry Regulatory FINRA included statements concerning
Callow to serve as Public Representative Authority, Inc.; Notice of Filing and the purpose of and basis for the
in this docket. Immediate Effectiveness of a Proposed proposed rule change and discussed any
III. Ordering Paragraphs Rule Change Relating to the New comments it received on the proposed
Securities Trader Qualification rule change. The text of these statements
It is ordered: Examination (Series 57) may be examined at the places specified
1. The Commission establishes Docket in Item IV below. FINRA has prepared
No. MC2016–7 to consider the Postal October 19, 2015. summaries, set forth in sections A, B,
Service’s Request. Pursuant to Section 19(b)(1) of the and C below, of the most significant
2. Pursuant to 39 U.S.C. 505, James F. Securities Exchange Act of 1934 (‘‘Act’’ aspects of such statements.
Callow is appointed to serve as an or ‘‘SEA’’) 1 and Rule 19b–4
officer of the Commission (Public thereunder,2 notice is hereby given that A. Self-Regulatory Organization’s
Representative) to represent the on October 13, 2015, Financial Industry Statement of the Purpose of, and
interests of the general public in these Regulatory Authority, Inc. (‘‘FINRA’’) Statutory Basis for, the Proposed Rule
proceedings. filed with the Securities and Exchange Change
3. Comments by interested persons in Commission (‘‘SEC’’ or ‘‘Commission’’) 1. Purpose
these proceedings are due no later than the proposed rule change as described Section 15A(g)(3) of the Act 7
October 26, 2015. in Items I, II, and III below, which Items authorizes FINRA to prescribe standards
4. The Secretary shall arrange for have been prepared by FINRA. FINRA of training, experience, and competence
publication of this order in the Federal has designated the proposed rule change for persons associated with FINRA
Register. as constituting a ‘‘non-controversial’’ members. In accordance with that
rule change under paragraph (f)(6) of provision, FINRA has developed
Ruth Ann Abrams,
Rule 19b–4 under the Act,3 which examinations that are designed to
Acting Secretary. renders the proposal effective upon
[FR Doc. 2015–26925 Filed 10–22–15; 8:45 am]
establish that persons associated with
receipt of this filing by the Commission. FINRA members have attained specified
BILLING CODE 7710–FW–P The Commission is publishing this levels of competence and knowledge,
notice to solicit comments on the consistent with applicable registration
proposed rule change from interested requirements under FINRA rules.
POSTAL SERVICE persons. The Commission recently approved a
I. Self-Regulatory Organization’s proposed rule change to amend NASD
Removal of Global Direct Contracts Rule 1032(f) (Limited Representative—
From the Competitive Product List Statement of the Terms of Substance of
the Proposed Rule Change Equity Trader) to replace the Equity
AGENCY: Postal Service. Trader registration category and
FINRA is filing the content outline qualification examination (Series 55)
ACTION: Notice. and selection specifications for the new with the Securities Trader registration
SUMMARY: The Postal Service hereby Securities Trader qualification category and qualification examination
provides notice that it has filed a examination (Series 57).4 FINRA is not (Series 57).8 The rule provides that each
request with the Postal Regulatory proposing any textual changes to the By- associated person of a member who is
Commission to remove Global Direct included within the definition of
Contracts from the competitive product
1 15 U.S.C. 78s(b)(1). ‘‘representative’’ in NASD Rule 1031
2 17 CFR 240.19b–4.
list. (Registration Requirements) is required
3 17 CFR 240.19b–4(f)(6).
to register with FINRA as a Securities
DATES: Effective date: October 23, 2015. 4 FINRA also is establishing the Series 57
mstockstill on DSK4VPTVN1PROD with NOTICES

FOR FURTHER INFORMATION CONTACT: question bank. FINRA is submitting this filing for 5 The Commission notes that the content outline
immediate effectiveness pursuant to Section
Keith Nusbaum, 202–268–6687. 19(b)(3)(A) of the Act and Rule 19b–4(f)(6) is attached to the filing, not to this Notice.
6 17 CFR 240.24b–2.
SUPPLEMENTARY INFORMATION: On thereunder, and is not filing the question bank. See
7 15 U.S.C. 78o–3(g)(3).
October 16, 2015, the United States Letter to Alden S. Adkins, Senior Vice President
and General Counsel, NASD Regulation, from 8 See Securities Exchange Act Release No. 75783
Postal Service® filed with the Postal Belinda Blaine, Associate Director, Division of (August 28, 2015), 80 FR 53369 (September 3, 2015)
Regulatory Commission a Request of the Market Regulation, SEC, dated July 24, 2000. The (Order Approving File No. SR–FINRA–2015–017)
United States Postal Service to remove question bank is available for SEC review. (‘‘Approval Order’’).

VerDate Sep<11>2014 18:05 Oct 22, 2015 Jkt 238001 PO 00000 Frm 00072 Fmt 4703 Sfmt 4703 E:\FR\FM\23OCN1.SGM 23OCN1
64458 Federal Register / Vol. 80, No. 205 / Friday, October 23, 2015 / Notices

multiple-choice questions,19 and and associated tasks currently All submissions should refer to File
candidates will have three hours and 45 performed by associated persons Number SR–FINRA–2015–042. This file
minutes to complete the examination. engaged in securities trading and tests number should be included on the
The passing score will be 70 percent. knowledge of the laws, rules, subject line if email is used. To help the
regulations and skills relevant to those Commission process and review your
Availability of Content Outline
functions and associated tasks. comments more efficiently, please use
The Series 57 content outline is only one method. The Commission will
available on FINRA’s Web site, at http:// C. Self-Regulatory Organization’s post all comments on the Commission’s
www.finra.org/industry/qualification- Statement on Comments on the Internet Web site (http://www.sec.gov/
exams. Proposed Rule Change Received From rules/sro.shtml). Copies of the
FINRA is filing the proposed rule Members, Participants, or Others submission, all subsequent
change for immediate effectiveness. Written comments were neither amendments, all written statements
FINRA proposes to implement the solicited nor received. with respect to the proposed rule
Series 57 examination on January 4, change that are filed with the
2016. FINRA will announce the III. Date of Effectiveness of the Commission, and all written
proposed rule change and the Proposed Rule Change and Timing for communications relating to the
implementation date in a Regulatory Commission Action proposed rule change between the
Notice. Because the foregoing proposed rule Commission and any person, other than
2. Statutory Basis change does not: (i) Significantly affect those that may be withheld from the
the protection of investors or the public public in accordance with the
FINRA believes that the proposed rule provisions of 5 U.S.C. 552, will be
interest; (ii) impose any significant
change is consistent with the provisions available for Web site viewing and
burden on competition; and (iii) become
of Section 15A(b)(6) of the Act,20 which printing in the Commission’s Public
operative for 30 days from the date on
requires, among other things, that Reference Room, 100 F Street NE.,
which it was filed, or such shorter time
FINRA rules must be designed to Washington, DC 20549, on official
as the Commission may designate, it has
prevent fraudulent and manipulative business days between the hours of 10
become effective pursuant to Section
acts and practices, to promote just and a.m. and 3 p.m. Copies of such filing
19(b)(3)(A) of the Act 22 and Rule 19b–
equitable principles of trade, and, in also will be available for inspection and
general, to protect investors and the 4(f)(6) thereunder.23
At any time within 60 days of the copying at the principal office of
public interest, and Section 15A(g)(3) of FINRA. All comments received will be
the Act,21 which authorizes FINRA to filing of the proposed rule change, the
Commission summarily may posted without change; the Commission
prescribe standards of training, does not edit personal identifying
experience, and competence for persons temporarily suspend such rule change if
it appears to the Commission that such information from submissions. You
associated with FINRA members. should submit only information that
FINRA believes that the proposed rule action is necessary or appropriate in the
public interest, for the protection of you wish to make available publicly. All
change furthers these purposes by submissions should refer to File
establishing the qualification investors, or otherwise in furtherance of
Number SR–FINRA–2015–042 and
examination that individuals, including the purposes of the Act. If the
should be submitted on or before
associated persons of FINRA members, Commission takes such action, the
November 13, 2015.
must pass to register and function as Commission shall institute proceedings
to determine whether the proposed rule For the Commission, by the Division of
Securities Traders and Securities Trader Trading and Markets, pursuant to delegated
Principals. The examination is intended should be approved or disapproved.
authority.24
to safeguard the investing public by IV. Solicitation of Comments Robert W. Errett,
helping to ensure that individuals Deputy Secretary.
registering as Securities Traders, as well Interested persons are invited to
submit written data, views and [FR Doc. 2015–26912 Filed 10–22–15; 8:45 am]
as those responsible for the supervision
of securities trading activities, are arguments concerning the foregoing, BILLING CODE 8011–01–P

competent to perform their job including whether the proposed rule
functions. change is consistent with the Act.
Comments may be submitted by any of SECURITIES AND EXCHANGE
B. Self-Regulatory Organization’s the following methods: COMMISSION
Statement on Burden on Competition [Release No. 34–76190; File No. SR–FINRA–
Electronic Comments
FINRA does not believe that the 2015–039]
proposed rule change will result in any • Use the Commission’s Internet
burden on competition that is not comment form (http://www.sec.gov/ Self-Regulatory Organizations;
necessary or appropriate in furtherance rules/sro.shtml); or Financial Industry Regulatory
of the purposes of the Act. The new • Send an email to rule-comments@ Authority, Inc.; Notice of Filing and
examination aligns with the functions sec.gov. Please include File Number SR– Immediate Effectiveness of a Proposed
FINRA–2015–042 on the subject line. Rule Change Relating to the Series 28
19 Consistent with FINRA’s practice of including Examination Program
‘‘pretest’’ items on qualification examinations, Paper Comments
which is designed to ensure that new examination
October 19, 2015.
• Send paper comments in triplicate
mstockstill on DSK4VPTVN1PROD with NOTICES

items meet acceptable testing standards prior to use Pursuant to Section 19(b)(1) of the
for scoring purposes, the examination includes 10 to Robert W. Errett, Deputy Secretary, Securities Exchange Act of 1934 (‘‘Act’’
additional, unidentified pretest items that do not Securities and Exchange Commission, or ‘‘SEA’’) 1 and Rule 19b–4
contribute towards the candidate’s score. Therefore, 100 F Street NE., Washington, DC
the examination actually consists of 135 items, 125 thereunder,2 notice is hereby given that
of which are scored. The 10 pretest items are
20549–1090.
randomly distributed throughout the examination. 24 17 CFR 200.30–3(a)(12).
20 15 U.S.C. 78o–3(b)(6). 22 15 U.S.C. 78s(b)(3)(A). 1 15 U.S.C. 78s(b)(1).
21 15 U.S.C. 78o–3(g)(3). 23 17 CFR 240.19b–4(f)(6). 2 17 CFR 240.19b–4.

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Document Created: 2015-12-14 15:32:17
Document Modified: 2015-12-14 15:32:17
Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		80 FR 64456