FINRA: Private Regulation of Financial Markets in the United States
Events related to the U.S. economy are of particular importance to any currency trader because of the position of this country's national currency among other monetary units. In this article the magazine fortrader.org considers a regulator for you FINRAThe U.S. has a large number of financial centers in the U.S. under its control.
Private Regulation of Financial Markets in the United States - FINRA
- Full name: Financial Industry Management
- Title at English: Financial Industry Regulatory Authority
- Abbreviated title: FINRA
- Subordinate countries: U.S.
- Funding: from the contributions of member companies, proceeds from the imposition of penalties
- Degree of trust of traders: tall
- Official website: finra.org.
This organization is a private corporation and operates under the the principle of self-regulation. It directs activities to ensure the transparency and legality of financial transactions, participates in arbitration operations New York Stock Exchange. FINRA - A nongovernmental structure, but on its shoulders rests a considerable list of responsibilities. The main directions of the regulator's activity are control over transactions made by brokerage firms in the stock market, futuresThe main mission of the organization is the development of the country's foreign exchange market. At the same time, the main mission of the organization is to ensuring the protection of investor rights and the maintenance of exchange order. The center is located in the capital, Washington, D.C. Despite the relatively young age of the center - it was founded in 2007 - it has more than 3,400 employees.
Under the control of this regulator covers the activity of more than 4.25 thousand brokerage organizations, more than 160 thousand of their branches and about 600 thousand registered securities. By means of FINRA private intermediaries or brokerage firms undergo the licensing procedure. Of course, in case of violation of the current legislation a dealing center or a private broker can be deprived of the relevant document for conducting intermediary activity. Besides, the leading echelon of the structure participates in formation of the legislative base of the country concerning the financial sector.
If we touch upon the issue of financing the center's activities, it can be noted that during 2012 FINRA received a revenue stream of almost 880 million U.S. dollars. The revenue stream is generated by contributions from affiliates by making licensing payments. At the same time an individual brokerage firm pays not only for documenting the central office, but also all branches from it.
So, the regulation of financial markets in the U.S., whose economy represents for anyone trader The licensing process is of paramount importance, carried out jointly by both public and private regulatory agencies. Having a license FINRA The trading center of your choice is a strong argument in favor of its reliability and honesty, and therefore the trust of traders in the organization is quite high.