FINRA Provides Guidance on Firm Responsibilities for Sales of Pension Income Stream Products
Pension income stream products typically involve an up-front lump sum payment to a pensioner in exchange for the rights to the pensioner’s future pension income payments. This Notice discusses the characteristics of and investor protection issues presented by pension income stream products, as well as the legal status of these products. In addition, this Notice addresses the responsibilities of firms in supervising the sale of pension income stream products.
• FINRA Regulatory Notice 16-12 (April 2016): FINRA Provides Guidance on Firm Responsibilities for Sales of Pension Income Stream Products