Preparatory Course Series24 USA American Broker Examination Securities (FINRA)

Series 24 – General Securities Principal Exam


The Series 24 exam — the General Securities Principal Qualification Exam (GP) — assesses the competency of an entry-level principal to perform their job as a principal dependent on their corequisite registrations.
The exam measures the degree to which each candidate possesses the knowledge needed to perform the critical functions of a principal, including the rules and statutory provisions applicable to the supervisory management of a general securities broker-dealer.
The Series 24 Content Outline provides a comprehensive guide to the range of topics covered on the exam, as well as the depth of knowledge required. The outline is comprised of the five major job functions of a general securities principal. You can view courses in the curriculum. 

In addition to the Series 24 exam, candidates must pass the Securities Industry Essentials (SIE) Exam and a representative-level qualification exam, or the Supervisory Analysts Exam (Series 16) exam, to hold an appropriate principal registration. Based on their corequisite qualification(s), candidates will receive the following principal registration(s) upon passing the Series 24 exam:

Corequisite Exam(s)   Principal Registrations
SIE + Series 7 General Securities Principal (GP)
SIE + Series 57 Trader Principal (TP)
SIE + Series 79 Investment Banking Principal (BP)
SIE + Series 82 Private Securities Offerings Principal (PO)
SIE + Series 86 and 87 Research Principal (RP)
Series 16 Research Principal (RP)

Permitted Activities

A general securities principal’s supervisory responsibilities are governed by the limitations of their representative-level registrations. Covered supervisory activities include regulatory compliance over:

  • Advertising
  • Market making
  • Trading
  • Underwriting

Information is based on content from https://www.finra.org/registration-exams-ce/qualification-exams/series24

Supervision of Registration of the Broker-Dealer and Personnel Management Activities

1
Initiate or terminate the registration of the broker-dealer and physical office locations in the Central Registration Depository (CRD) System by filing, updating or amending appropriate documents
2
Conduct hiring and registration of associated persons and maintenance of registration

Supervision of General Broker-Dealer Activities

1
Develop, implement and update firm’s policies, written supervisory procedures (WSP) and controls for applicable rules and regulations; and implement appropriate monitoring and testing
2
Supervise the conduct of associated persons
3
Supervise compensation practices of member, associated persons and other parties
4
Supervise the development, evaluation and delivery of products and services offered by the broker-dealer
5
Take disciplinary or corrective actions relating to the conduct of associated persons; address regulatory actions regarding violations or potential violations of securities industry laws, rules and regulations; and address customer and industry disputes
6
Develop and maintain policies, procedures and controls relating to the creation and retention of books and records
7
Supervise compliance with financial responsibility requirements and funding and cash management

Supervision of Retail and Institutional CustomerRelated Activities

1
Supervise new account opening and ongoing maintenance of existing accounts
2
Monitor, review and approve speaking engagements and other communications with the public
3
Review securities transactions, recommendations and account activity, and verify that required disclosures are made

Supervision of Trading and Market Making Activities

1
Supervise order entry, routing and execution
2
Confirm proper booking and settlement of trades
3
Review executions for compliance with trade reporting requirements

Supervision of Investment Banking and Research

1
Develop and maintain policies, procedures and controls; and supervise related investment banking activities
2
Review and approve investor disclosure materials, pitch books and marketing materials
3
Develop and maintain policies, procedures and controls; and supervise activities relating to research

Rules & Regulations

1
FINRA rules
2
SEC Rules and Regulations
3
Nasdaq Rules
4
Sarbanes—Oxley – Section 404—Management Assessment of Internal Controls
5
Federal Reserve Board Regulation T—Credit by Brokers and Dealers
6
Regulation NMS—National Market System

Basic format of questions in the exam

1
Closed-Stem
2
Open-Stem (Sentence Completion)
3
Except or Not
Candidates must be associated with and sponsored by a FINRA member firm or other applicable self-regulatory organization (SRO) member firm to be eligible to take FINRA principal-level qualification exams. For more information on registration requirements, refer to FINRA Rule 1210. The Series 24 has corequisite exam requirements. Candidates must pass the required corequisite exam(s) to obtain the appropriate principal registration(s).


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Enrolled: 35 students
Duration: 100 hours
Lectures: 27
Video: 9 hours
Level: Advanced

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Monday 9:30 am - 6.00 pm
Tuesday 9:30 am - 6.00 pm
Wednesday 9:30 am - 6.00 pm
Thursday 9:30 am - 6.00 pm
Friday 9:30 am - 5.00 pm
Saturday Closed
Sunday Closed