Recruiter's Glossary

Examples: Compliance Calendar • GDPR • BSA

Reg BI

Term from Compliance industry explained for recruiters

Reg BI (Regulation Best Interest) is a rule created by the SEC (Securities and Exchange Commission) that sets standards for financial professionals when they work with retail clients. It's like a rulebook that makes sure brokers and advisors put their clients' interests first when recommending investments. This regulation replaced older, less strict rules in 2020 and is now a key part of how financial firms operate. Think of it as consumer protection law for investment advice - similar to how there are rules protecting consumers when buying cars or houses.

Examples in Resumes

Developed training programs to ensure broker compliance with Reg BI requirements

Led implementation of Regulation Best Interest protocols across 200+ retail branches

Created documentation and monitoring systems for RegBI compliance

Typical job title: "Compliance Officers"

Also try searching for:

Compliance Specialist Regulatory Compliance Officer Financial Compliance Manager Compliance Analyst Regulatory Affairs Specialist Compliance Consultant Broker-Dealer Compliance Officer

Where to Find Compliance Officers

Professional Associations

Job Boards

Online Resources

Example Interview Questions

Senior Level Questions

Q: How would you implement a Reg BI compliance program for a large broker-dealer?

Expected Answer: Should discuss creating comprehensive policies, training programs, supervision systems, documentation requirements, and risk assessment methods. Should mention working with different departments and managing firm-wide implementation.

Q: How do you handle conflicts of interest under Reg BI?

Expected Answer: Should explain process for identifying conflicts, creating disclosure documents, establishing review procedures, and implementing controls to either eliminate or properly disclose conflicts to clients.

Mid Level Questions

Q: What are the four main obligations under Reg BI?

Expected Answer: Should identify and explain the Care Obligation, Disclosure Obligation, Conflict of Interest Obligation, and Compliance Obligation in simple terms with practical examples.

Q: How do you ensure brokers are meeting Reg BI requirements in their daily interactions?

Expected Answer: Should discuss monitoring systems, documentation reviews, training programs, and regular audits of broker activities and recommendations.

Junior Level Questions

Q: What is Form CRS and why is it important?

Expected Answer: Should explain that Form CRS is a simple disclosure document required under Reg BI that helps retail investors understand services, fees, and relationships with their financial professionals.

Q: How does Reg BI differ from the previous suitability standard?

Expected Answer: Should explain that Reg BI requires a higher standard of care than the old suitability rule, with more emphasis on putting client interests first and increased disclosure requirements.