The Financial Industry Regulatory Authority (FINRA) fined broker-dealer Webull Financial $3 million for alleged failures related to customer due diligence and processing and reporting of customer complaints.
The details: In its order Thursday, FINRA said flaws in Webull’s automated, electronic system it used to approve or disapprove customer accounts for options trading from 2019-21 “resulted in customers being approved for options trading authority who did not satisfy the firm’s eligibility criteria or whose accounts contained red flags that options trading was potentially inappropriate for them.”
