Review how Series 24 tests principal supervision of account opening, AML, communications, recommendations, disclosures, complaints, and ongoing account activity.
The customer-related chapter tests how a principal supervises the firm’s external obligations to retail and institutional customers. The exam is not only asking whether a representative knows how to open or service an account. It is asking whether the principal can supervise account approvals, AML controls, communications, recommendations, disclosures, and complaint-sensitive activity in a way that protects both customers and the firm.
Read this chapter as a customer-lifecycle sequence. Begin with account opening and identity controls, then move into public communications and telemarketing, and finish with recommendations, disclosures, and ongoing account supervision.
| Skill | Exam use |
|---|---|
| Control account opening | Spot missing identity, authority, customer-profile, AML, OFAC, or account-approval facts. |
| Review communications | Separate retail communications, correspondence, institutional material, telemarketing, and approval or retention duties. |
| Supervise recommendations | Apply Reg BI, suitability, cost, alternatives, disclosures, and conflict logic. |
| Escalate account red flags | Treat complaints, suspicious movement, unauthorized activity, and documentation gaps as principal issues. |