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4.2 Continuing Education

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Securities Industry Essentials SIE

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1 Introduction

About the SIE Exam How to Use This Course

2 Chapter 1: Knowledge of Capital Markets

1.1 Regulatory Bodies 1.2 State Regulation 1.3 Market Participants 1.4 Types of Markets 1.5 The Exchanges 1.6 OTC Markets 1.7 Economic Policies 1.8 Interest Rates 1.9 Business Cycles 1.10 International Economics

3 Chapter 2: Understanding Products and Their Risks

2.1 Common Stock Basics 2.2 Corporate Actions 2.3 Preferred Stock 2.4 ADRs 2.5 Bond Basics 2.6 Yields 2.7 U.S. Treasury Securities 2.8 Corporate Bonds 2.9 Municipal Bonds 2.10 Money Market Instruments 2.11 Options Basics 2.12 Hedging Strategies 2.13 Mutual Funds 101 2.14 Mutual Fund Fees 2.15 ETFs 2.16 UITs & REITs 2.17 DPPs 2.18 Systematic Risk 2.19 Non-Systematic Risk 2.20 Mitigation Strategies

4 Chapter 3: Trading, Customer Accounts and Prohibited Activities

3.1 Order Types 3.2 Trade Settlement 3.3 Quoting 3.4 Account Types 3.5 Account Registration 3.6 Retirement Plans 3.7 Education Savings 3.8 AML Rules 3.9 Market Manipulation 3.10 Insider Trading 3.11 Customer Protection

5 Chapter 4: Overview of Regulatory Framework

4.1 Registration 4.2 Continuing Education 4.3 Employee Conduct 4.4 Correspondence

4.2 Continuing Education

Key Takeaways Explain This Topic AI

Continuing Education has two mandatory components: Regulatory Element (administered by FINRA) and Firm Element (administered by member firms)

Regulatory Element must be completed annually by December 31 through FINRA's FinPro Gateway at no cost to registered persons

Missing the Regulatory Element deadline results in CE Inactive status, prohibiting all registered activities, with suspension after 120 days

Firm Element requires annual needs analysis and customized training plan based on firm's specific business and regulatory developments

  • CE Inactive status for 2 years requires retaking qualification exams to restore registration
  • Last updated: January 2026

The securities industry requires ongoing education to ensure registered persons stay current with regulations, products, and best practices. FINRA's Continuing Education (CE) program has two components.

Overview of CE Program

The Securities Industry Continuing Education Program consists of two elements:

  • Element Administered By Focus
  • Regulatory Element FINRA Rules and regulatory updates
  • Firm Element Member firms Job-specific training

Both elements are mandatory for maintaining registration.

Regulatory Element

The Regulatory Element focuses on compliance, regulatory, ethical, and sales practice standards.

Key Requirements

  • Requirement Detail
  • Frequency Annual (by December 31 each year)
  • Administrator FINRA
  • Delivery Online through FinPro Gateway
  • Cost Covered by FINRA
  • Content Based on registration category
  • What the Regulatory Element Covers

Content is tailored to each registration category and includes:

  • Significant rule changes
  • Regulatory developments
  • Compliance issues
  • Ethics and professional standards
  • Sales practice requirements
  • Completion Deadline
  • Deadline Consequence
  • December 31 annually Must complete all assigned courses
  • Miss deadline Designated as "CE Inactive"
  • CE Inactive Status

If you fail to complete the Regulatory Element by December 31:

  • Status Effect
  • CE Inactive Cannot perform registered functions
  • 120 Days Registration suspended if still inactive
  • 2 Years Must retake qualification exams

Warning: While CE inactive, you cannot engage in any activities requiring registration, including soliciting customers or executing trades.

  • Completing the Regulatory Element
  • Log into FINRA's Financial Professional Gateway (FinPro)
  • View assigned learning plan
  • Complete all required courses
  • Pass any required assessments
  • Firm Element

The Firm Element is training developed and administered by each member firm.

Key Requirements

  • Requirement Detail
  • Frequency Annual
  • Administrator Member firm
  • Content Customized to firm's business
  • Documentation Written training plan required
  • Covered Persons All registered representatives
  • Firm Element Content

Firms must provide training on:

  • Securities products
  • Investment features and risks
  • Suitability obligations
  • Firm-specific policies
  • Regulatory updates relevant to firm business
  • Annual Needs Analysis

Firms must conduct an annual needs analysis to determine training priorities:

  • Factor Consideration
  • Regulatory Developments New rules affecting the firm
  • Business Changes New products or services
  • Deficiencies Areas needing improvement
  • Disciplinary Actions Patterns requiring attention
  • Firm Element Written Plan

Each firm must maintain a written training plan that includes:

  • Training content and objectives
  • Persons required to complete training
  • Delivery methods
  • Assessment methods
  • Completion deadlines
  • Firm Element vs. Regulatory Element
  • Feature Regulatory Element Firm Element
  • Administered by FINRA Member firm
  • Content Industry-wide Firm-specific
  • Standardized Yes No
  • Assessment May include tests Firm discretion
  • Filing None required Plan kept on file
  • CE Resources
  • FINRA Resources
  • Resource Purpose
  • FinPro Gateway Complete Regulatory Element online
  • CE Council Guidance for Firm Element training
  • FLEX (Financial Learning Experience) Optional e-learning catalog
  • Quarterly Highlights Topics for Firm Element training
  • FinPro Gateway Features
  • View CE status and requirements
  • Access Regulatory Element courses
  • Track completion progress
  • View registration information
  • Maintaining Registration
  • CE and Registration Status
  • CE Status Registration Effect
  • Complete Full registration maintained
  • CE Inactive Cannot perform registered activities
  • Suspended Registration suspended
  • Terminated Must re-register and retake exams
  • Tips for Compliance
  • Don't wait - Complete CE early in the year
  • Track deadlines - Monitor through FinPro
  • Document training - Keep Firm Element records
  • Stay informed - Watch for regulatory updates
  • Special Situations
  • New Registrants
  • Situation Regulatory Element Requirement
  • Registered Jan-Jun Due by December 31 of same year
  • Registered Jul-Dec Due by December 31 of following year
  • Multiple Registrations

If you hold multiple registrations:

  • Complete Regulatory Element for each category
  • Some courses may satisfy multiple requirements
  • All must be completed by deadline
  • Registration Transfers

When transferring to a new firm:

  • CE requirements follow you
  • Firm Element continues at new firm
  • Regulatory Element deadlines unchanged
  • Key Takeaways
  • CE has two parts: Regulatory Element and Firm Element
  • Regulatory Element: Annual, administered by FINRA, due December 31
  • Firm Element: Annual, customized by each firm
  • Missing Regulatory Element = CE Inactive status
  • CE Inactive = Cannot perform registered activities
  • Firms must conduct annual needs analysis for Firm Element
  • Both elements are mandatory for maintaining registration