Financial Industry Regulatory Authority (FINRA) Practice Exam 2025 - Free FINRA Practice Questions and Study Guide

Form U-4 must be completed and filed when a new associated person is hired because it is the required filing that registers individuals with the Financial Industry Regulatory Authority (FINRA) and other self-regulatory organizations. This form contains vital information about the individual’s background, including their personal history, employment, and any disciplinary actions, ensuring that they meet the necessary qualifications to work in the financial services industry.

The emphasis on completing the form upon hiring highlights the importance of verifying the qualifications and fitness of new hires before they begin their roles in the industry. Timely filing is critical as it allows for appropriate regulatory oversight and ensures compliance with industry rules and standards right from the onset of their employment. This proactive measure aids in maintaining the integrity of the financial markets and protecting investors.