Ms. Newbie has recently become licensed as a registered representative and is disappointed to discover no clients standing in line at the door to her office at Savvy Investments. She decides she simply must take on a second job in order to pay the rent. The fitness club to which she belongs is advertising for a weekend receptionist, and the club manager has told her the job is hers if she wants it. Given this scenario, Ms. Newbie:
Explanation
Answer: C - Ms. Newbie must provide a written notice to Savvy Investments and await the firm’s approval before accepting the job at the fitness center. It is also the case that Savvy is entitled to withhold approval. FINRA’s rule states, “No person associated with a member in any registered capacity shall be employed by, or accept compensation from any other person as a result of any business activity, other than a passive investment, outside the scope of his relationship with his employer firm, unless he has provided prompt written notice to the member.”
