This course will focus on fixed-income securities and the fair pricing rules implemented by the Financial Industry Regulatory Authority (FINRA) and Municipal Securities Rulemaking Board (MSRB) rules on fair prices and commissions apply to transactions in all securities, including fixed-income securities. MSRB Rules impose similar obligations for transactions in municipal securities.

Both rules also include specific requirements that relate only to debt securities. The debt-related securities rules require a dealer acting in a principal capacity in a debt-related transaction with a customer and charging a mark-up or mark-down to mark up or mark down the transaction based on the prevailing market price.

This course will provide a thorough orientation to FINRA and MSRB rules relating to sales of fixed-income securities and the related fair pricing rules. The course will focus on the nature and function of fixed-income securities and examine sales of these securities and how the fair pricing rules impact the sales process.

Upon conclusion of this course, you should:

• have a solid understanding of fixed-income securities
• understand relevant differences between private and public fixed-income securities
• understand the function and applicability of FINRA rules to fixed-income securities
• understand the function and applicability of MSRB rules to fixed-income securities
• understand FINRA Rules as they relates to fair pricing and commissions on fixed-income securities
• understand MSRB Rules as they relates to fair pricing and commissions on fixed-income securities
• understand the meaning of "prevailing market price" and the process for discovering it