Compliance and Business Processes

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, complaints, and product or business-line oversight.

In this section

• Customer Accounts and Operational Processes
  Review account-opening, account-maintenance, delivery, payment, transfer, and privacy controls tested in the opening compliance function of Series 26.
• Anti-Money Laundering and Suspicious Activity
  Learn how Series 26 tests AML escalation, OFAC checks, CIP, CTR/SAR logic, and suspicious-activity documentation.
• Internal Controls, Business Continuity, and Supervisory Testing
  Review WSP controls, annual testing, exception reporting, business continuity, and compliance-certification topics in Series 26.
• Office Inspections and Books and Records
  Learn how Series 26 tests office inspections, office classification, correspondence retention, and packaged-products recordkeeping.
• Customer Complaints, Products, and Business Lines
  Review complaint handling, arbitration-related records, new-product oversight, and financial-responsibility supervision on the final Series 26 section.