Learn the account, AML, internal-control, BCP, office-inspection, complaint, books-and-records, and business-line oversight topics that complete Series 26.
The final Series 26 chapter turns from front-line sales supervision to firm-level compliance processes. This is where the principal proves that the firm can open and maintain accounts correctly, detect suspicious activity, maintain internal controls, inspect offices, handle complaints, and supervise business-line changes and financial-responsibility obligations. These topics matter because packaged-products supervision fails quickly when the underlying operational controls are weak.
Read this chapter as the control-system layer of the business. Start with account-opening and maintenance processes, then move through AML, internal controls, inspections, customer complaint handling, and new-product or business-line oversight.
| Section | Focus |
|---|---|
| 3.1 Account Opening, Maintenance, Transfers, and Privacy | New account forms, customer information, account changes, statements, confirmations, transfers, prompt payment, privacy, and records. |
| 3.2 AML, CIP, and Suspicious Activity Reporting | AML red flags, CIP, SAR, CTR, FinCEN, OFAC, Section 314, identity theft red flags, documentation, and alert closure. |
| 3.3 Internal Controls, Testing, and Business Continuity | WSPs, supervisory controls, testing, annual certification, systems, BCP, exception reports, FOCUS filings, and control remediation. |
| 3.4 Office Inspections and Supervisory Files | OSJs, branch offices, inspection planning, inspection evidence, signage, mail holding, networking arrangements, and remediation follow-up. |
| 3.5 Customer Complaint Handling and Reporting | Written complaints, intake, investigation, reportability, arbitration, mediation, expungement, trend review, and disclosure updates. |
| 3.6 New Products, Financial Responsibility, and Membership Changes | Net capital, SIPC, fidelity bonds, product due diligence, new business lines, corporate-action notices, CMA triggers, and ongoing oversight. |
| Skill | Exam use |
|---|---|
| Supervise operational processes | Connect account opening, maintenance, transfers, delivery, payment, and privacy facts to principal controls. |
| Escalate AML and suspicious activity | Recognize CIP, OFAC, CTR, SAR, and suspicious-pattern issues at exam level. |
| Maintain control evidence | Apply WSPs, BCP, supervisory testing, office inspections, correspondence retention, and books-and-records discipline. |
| Handle complaints and product oversight | Choose complaint logging, investigation, remediation, and new-product or business-line review steps. |