BrokerCheck is the only free online tool of its kind available to the public 24 hours a day, seven days a week. There are no forms to fill out and submit, and there is neither a time delay nor a cost to investors who receive a report. In fact, more than 75% of state securities regulators refer investors to BrokerCheck from their websites. FINRA has committed considerable resources and made significant enhancements to BrokerCheck, particularly over the last five years, to create a more user-friendly interface that allows investors to quickly access and intuitively understand the professional background of investment professionals. While the system may not be perfect, we do have to make determinations on what information about registered representatives is appropriate to release, while at the same time balancing fairness rather than ignoring it.
FINRA works closely with our partners in the states on our joint core mission of protecting American investors. FINRA has consistently, and for many years, encouraged investors to both use BrokerCheck and consult their state securities regulator before doing business with an investment professional. To that end, users of BrokerCheck are repeatedly encouraged to check with state securities regulators and provided links to the websites of state securities regulators. In fact, many state securities regulators refer investors to BrokerCheck to check the backgrounds of brokers in their state—either in addition to information they provide upon request or, in some instances, as the primary resource for this information.
Just as BrokerCheck provides information not available from state securities regulators, state securities regulators provide some information that is not available through BrokerCheck. Additionally, there is variability in the information -and the speed of its dissemination -that different state securities regulators provide to investors. For example, some state securities regulators provide information regarding brokers and firms that other state securities regulators do not provide.
BrokerCheck provides a wealth of information that allows investors to check the professional background of brokerage firms, individual brokers, as well as investment adviser firms and representatives. For individual brokers, you can use BrokerCheck, which is readily available, to find:
- current employers;
- a 10-year employment history;
- felony charges and convictions;
- current registration and qualification examinations;
- investment-related misdemeanor charges and convictions;
- disciplinary actions and investigations by regulators;
- investment-related civil judicial actions and proceedings;
- consumer-initiated complaints, arbitration proceedings and civil litigations, except those where the broker prevails;
- unsatisfied judgments and liens, and bankruptcy proceedings; and
- employment terminations that follow allegations of certain misconduct or failure to supervise.
BrokerCheck provides the investing public with information not available through state securities regulators, including:
- summary information regarding arbitration awards against firms;
- links to arbitration awards in FINRA's Arbitration Awards Online Database; and
- links to FINRA disciplinary actions through FINRA's Disciplinary Actions Online Database.
FINRA is committed to maintaining BrokerCheck as a best-in-class tool to help investors obtain free, unbiased information about investment professionals and firms.
