FREQUENTLY ASKED QUESTIONS
For FINRA Member Firms
What are the minimum competency standards to be a designated principal in Ohio? (What tests are required?)
Ohio Administrative Code Section 1301:6-3-15(B) states the requirements of a designated principal. A designated principal must have either been (1) continuously licensed as a dealer of securities by the Division since May 1, 1991; or (2) achieved a passing score on one of the following examinations administered by the Financial Industry Regulatory Authority;
(a) Registered options principal, series 4,
(b) General securities principal, series 24,
(c) Investment company and variable contracts products principal, series 26,
(d) Direct participation programs principal, series 39,
(e) Municipal securities principal, series 53, or
(f) “Uniform Combined State Law Exam,” series 66.
Are FINRA member firms required to file branch offices in Ohio?
Effective July 3, 2006, dealers are requires to file a uniform Form BR for each new and existing branch office through the CRD. A Form BR is considered filed with the Division upon acceptance by the CRD.
Is a FINRA member firm required to file audited financial statements annually?
The Division no longer requires that FINRA member firms submit audited financials to the Division.
Is there a de-minimus exemption from registration as a dealer in Ohio?
There is no de-minimus exemption from registration as a dealer in Ohio, regardless of type of client (i.e retail vs.
institutional). However, there are a limited number of exceptions from registration as a dealer in Ohio. The
exceptions can be found in Ohio Revised Code Section 1707.14.
What, if anything, does the State of Ohio require from a dealer wanting to be licensed in Ohio, other than an electronically filed Form BD?
To register in Ohio, dealers need to file an Affidavit of No Prior Sales and a separate letter stating the name and position of the designated principal in addition to the electronic filing of Form BD.
We are an Ohio registered BD and are changing our name. Is anything required other than a change to CRD?
No, all changes made to the Form BD through Web CRD is all that is required.
Will I get something official from the Division that shows that I am licensed?
No, the only notification that you will receive is the change in status on the Web CRD.
I have filed an application for one of my representatives, how long will it take until I see an approved status?
Applications which have no disclosure are processed and approved each business day. If an applicant has disclosure, whether it is classified as current or archived, will usually take longer to process as we have to review the disclosures and possibly request additional information.