The regulations that relate to sales activities are fully addressed in the ONESCO Compliance & Operations Manual (Available ON-Net Online), which can be found on ON-Net under the ONESCO Compliance section. Registered Representatives of ONESCO are responsible for understanding and complying with all the contents of the manual, including:
- Registration & Licensing:
Registered Representatives must be properly registered with the FINRA and in all states where they intend to do business, as outlined in Section II of this course, before being able to solicit or sell securities. In addition, state insurance licenses may be required where applicable.
- Establishing Suitability:
The recommendation of a security must take into account the suitability of that security as an investment for the client. Suitability of an investment for your client depends on many factors; therefore, Registered Representatives need to obtain pertinent information such as a client's age, annual income, financial situation and needs, investment experience, investment objectives, investment time horizon, existing investment and insurance holdings, liquidity needs, liquid net worth, risk tolerance, tax status and any other information that will be used to make an investment recommendation. Use ONESCO's suitability form, Form ONESCO-1, to help document this discovery process.
