SEC RULE REQUIRES THAT EVERY REPRESENTATIVE MAINTAIN PRIVACY OF FINANCIAL INFORMATION OF CUSTOMERS

The SEC has rules regarding the requirement that registered reps maintain confidentiality about the financial positions of their customers. This is called Regulation S-P.

FINRA's Content Outline for the Series 6 includes privacy regulations in Section 2.2. This means that a Series 6 candidate should expect to see questions on privacy requirements on the Series 6 exam.

Bob Eder has detailed information about Regulation S-P in his Study for the Series 6 Exam. Here is a sample of Bob Eder's discussion on maintaining  privacy of financial information of customers:

"Regulation S-P                                                                                    (2.2)

The SEC has adopted Regulation S-P to assure that broker/dealers and investment advisory firms, as well as other firms that collect sensitive financial information of customers, comply with the law on safeguarding the privacy of personal non-public financial information. The notice must be easy to understand, conspicuous, not camouflaged in small type or hard-to-read font. It must be sent to all persons with whom a financial firm initiates or maintains a customer relationship."

Here is the link to FINRA's Content Outline for the Series 6 exam. See the references to maintaining privacy of customers' financial information in FINRA's Content Outline, Section 2.2.

Study for the Series 6 Exam is available from Amazon in both paperback and Kindle e-book versions. Here is the link to Bob Eder's Series 6 Exam study manual on Amazon.

See Bob Eder's Author Page on Amazon.com.

For questions about Bob Eder's Series 6 manual, Study for the Series 6 Exam, or questions in general about the Series 6 exam, such as maintaining privacy of customers' financial information, feel free to email Bob Eder at bobeder@bobeder.net.

Bob Eder received his Juris Doctor (J.D.) degree from the University of Utah, Quinney College of Law, in 2001.