What is the role of FINRA in investor protection?

FINRA, or the Financial Industry Regulatory Authority, is responsible for protecting investors from fraud and other abuses in the brokerage and securities industry. It does this by monitoring the activities of securities firms to make sure they are taking all necessary steps to safeguard investors’ money. FINRA works to ensure that brokerage firms comply with all applicable laws and regulations. It also investigates complaints of fraud and other wrongdoing in the industry. In addition, FINRA has the power to issue sanctions to firms that violate the law. These sanctions can include fines, suspension of licenses, and even expulsion from the industry. FINRA also ensures that investors have access to accurate and timely information about the securities they are considering to purchase. It works with companies to ensure that their public filings are complete and accurate. FINRA also educates investors. It has an investor education website that provides information on how to protect yourself from fraud and other types of financial losses. It also provides information on how to find a qualified financial advisor and how to select suitable investments. Overall, FINRA helps to protect Virginia investors by regulating firms, investigating complaints, issuing sanctions, verifying public filings, and educating investors. This helps to ensure that investors are protected from fraud and other abuses in the securities industry.

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What is the role of FINRA in investor protection?

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