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RECOGNITION (STEP 1) OCCURS WHEN AN ENTITY CONCLUDES THAT A TAX POSITION, BASED SOLELY ON ITS TECHNICAL MERITS, IS MORE LIKELY THAN NOT TO BE SUSTAINED UPON EXAMINATION. IN STEP 2 (MEASUREMENT), THE TAX BENEFIT IS MEASURED AS THE LARGEST AMOUNT OF BENEFIT, DETERMINED ON A CUMULATIVE PROBABILITY BASIS, THAT IS MORE LIKELY THAN NOT TO BE REALIZED UPON ULTIMATE SETTLEMENT. DURING THE YEARS FROM 2013 TO 2016, WHICH REPRESENT THE YEARS MANAGEMENT CONSIDERS TO BE OPEN FOR EXAMINATION BY TAXING AUTHORITIES, MANAGEMENT DID NOT IDENTIFY THE EXISTENCE OF ANY UNCERTAIN TAX POSITIONS. North America 2016 SPONSOR 15000 CHECK 1 false false false false false false true AMERICAN ENDOWMENT FOUNDATION 1521 GEORGETOWN ROAD HUDSON OH 44236 341747398 501(C)(3) 113530 2016 CONTRIBUTION APPLESEED FOUNDATION INC 727 15TH STREET WASHINGTON DC 20005 521835698 501(C)(3) 15000 2016 CONTRIBUTION CONSUMER FEDERATION OF AMERICA 1424 16TH STREET NW WASHINGTON DC 20036 520880625 501(C)(3) 30500 2016 CONTRIBUTION COUNCIL FOR ECONOMIC EDUCATION 122 E 42ND STREET NEW YORK NY 10168 131623848 501(C)(3) 15000 2016 CONTRIBUTION EMPLOYEE BENEFIT RESEARCH INSTITUTE 1100 13TH STREET NW WASHINGTON DC 20005 521190398 501(C)(3) 18500 2016 CONTRIBUTION JUMPSTART COALITION 919 18TH STREET NW WASHINGTON DC 20006 522031297 501(C)(3) 15000 2016 CONTRIBUTION SEC HISTORICAL SOCIETY 1101 PENNSYLVANIA AVE WASHINGTON DC 20004 522213646 501(C)(3) 15000 2016 CONTRIBUTION SIFMA FOUNDATION FOR INVESTOR PROTECTION 120 BROADWAY NEW YORK NY 10271 521087193 501(C)(3) 130000 2016 CONTRIBUTION TRUSTEES OF THE UNIVERSITY OF PENNSYLVANIA 3254 STEINBERG HALL PHILADELPHIA PA 19104 231352685 501(C)(3) 20000 2016 CONTRIBUTION FINRA INVESTOR EDUCATION FOUNDATION INC 1735 K STREET NW WASHINGTON DC 20006 200863779 501(C)(4) 1537659 2016 CONTRIBUTION 9 1 Form 990, Schedule I VOLUNTARY DISCLOSURE FOR APPLESEED FOUNDATION CONTRIBUTION DURING 2016: RICHARY G. KETCHUM, FINRA CEO, SERVED AS A BOARD MEMBER OF THE APPLESEED FOUNDATION. VOLUNTARY DISCLOSURE FOR THE SIFMA FOUNDATION FOR INVESTOR EDUCATION CONTRIBUTION DURING 2016: TODD T. DIGANCI, FINRA EXECUTIVE VICE PRESIDENT & CEO, SERVED AS A BOARD MEMBER OF THE SIFMA FOUNDATION FOR INVESTOR EDUCATION. THE DONATION MADE TO THE AMERICAN ENDOWMENT FOUNDATION REPRESENTS THE EMPLOYER MATCH FOR BENEVITY, FINRA'S WORKPLACE GIVING CAMPAIGN. FINRA REGULATION, INC. CONTRIBUTED DISGORGEMENT AWARDS RESULTING FROM REGULATORY FINES TO THE FINRA INVESTOR EDUCATION FOUNDATION. THESE DISGORGEMENTS, IN THE AMOUNT OF $1,537,659 WERE EARMARKED BY FINRA REGULATION, INC. FOR THE INVESTOR EDUCATION FOUNDATION (THE FOUNDATION), FOR PROGRAMS AND PROJECTS CONSISTENT WITH THE FOUNDATION'S MISSION. THE FOUNDATION IS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(4) AND ITS MISSION IS TO PROVIDE UNDERSERVED AMERICANS WITH THE KNOWLEDGE, SKILLS AND TOOLS NECESSARY FOR FINANCIAL SUCCESS. THE FINRA INVESTOR EDUCATION FOUNDATION BOARD IS RESPONSIBLE FOR APPROVING AND MONITORING GRANTS. SEE THE FOUNDATION'S FORM 990 FOR ADDITIONAL DETAILS ON THE GRANT APPROVAL AND MONITORING PROCESS. OVERSIGHT AND RECORDKEEPING OF CONTRIBUTIONS CHARITABLE CONTRIBUTIONS ARE REVIEWED AND APPROVED BY THE APPROPRIATE BUSINESS UNIT HEAD (OR THEIR DESIGNEE). THE ORGANIZATION MAINTAINS RECORDS TO SUBSTANTIATE THE AMOUNT AND THE PURPOSE OF THE CHARITABLE CONTRIBUTIONS. THE ORGANIZATION RELIES ON THE GOVERNANCE PRACTICES OF THE RECIPIENT ORGANIZATION IN DETERMINING THAT GRANT MONIES ARE SPENT AS INTENDED. true true false ROBERT W COOK PRESIDENT & CEO 328109 20779 92865 559 442312 RICHARD G KETCHUM PRESIDENT & CEO - THRU 8/14/16 770809 1500000 408453 68094 18453 2765809 TODD T DIGANCI EXECUTIVE VICE PRESIDENT $ CFO 565073 750000 25103 128438 30766 1499380 MARCIA E ASQUITH EVP & CORPORATE SECRETARY 262392 300000 176602 46097 37439 822530 91671 F GREGORY AHERN EXECUTIVE VICE PRESIDENT 327339 410000 635577 32800 27307 1433023 SUSAN F AXELROD EXECUTIVE VICE PRESIDENT 424828 500000 341084 46761 41882 1354555 196010 J BRADLEY BENNETT EVP AND CHIEF LEGAL OFFICER 416914 500000 333036 33469 3595 1287014 191477 RICHARD W BERRY EXECUTIVE VICE PRESIDENT 292812 320000 21679 114361 31590 780442 ROBERT L D COLBY EVP AND CHIEF LEGAL OFFICER 490048 525000 27015 142006 18930 1202999 11538 CARLO DI FLORIO EXECUTIVE VICE PRESIDENT 417796 300000 320449 30150 44214 1112609 185342 THOMAS R GIRA EXECUTIVE VICE PRESIDENT 439891 500000 1894869 57154 39626 2931540 273631 STEVEN A JOACHIM EXECUTIVE VICE PRESIDENT 372140 475000 231396 81903 31949 1192388 87179 TRACY B JOHNSON SENIOR VICE PRESIDENT 312103 285500 187707 29272 11192 825774 101629 DEREK W LINDEN EXECUTIVE VICE PRESIDENT 341302 370000 12603 82644 28354 834903 STEVEN J RANDICH EXECUTIVE VICE PRESIDENT & CIO 475310 575000 22746 143473 36259 1252788 STEPHEN M SCHOENEMAN SENIOR VICE PRESIDENT 325748 265000 202457 66240 33840 893285 107713 THOMAS M SELMAN EXECUTIVE VICE PRESIDENT 334784 370000 22527 65669 44349 837329 JONATHAN S SOKOBIN SENIOR VICE PRESIDENT 282851 225000 164836 35450 40320 748457 86045 SCHEDULE J, PART I, LINES 4A AND 4B LINE 4A) IN CONNECTION WITH F. GREGORY AHERN'S SEPARATION FROM FINRA, HE WAS PAID $46,154 IN 2016. LINE 4B) FINRA OFFERS TWO NON-QUALIFIED SUPPLEMENTAL EXECUTIVE RETIREMENT PLANS. ANNUAL INCREASES IN BENEFIT VALUE, CLIFF VESTING EVENTS, AND PAYOUT DIFFERENTIALS ARE TAXABLE IN THE YEAR IN WHICH THEY OCCUR AND ARE REPORTED IN COLUMN B(III) OF SCHEDULE J, PART II. UNVESTED BENEFIT AND CONTRIBUTION ACCRUALS ARE TAX DEFERRED AND ARE REPORTED IN COLUMN C OF SCHEDULE J, PART II. 1) FINRA'S SUPPLEMENTAL DEFINED BENEFIT PLAN IS A NON-QUALIFIED DEFINED BENEFIT PLAN THAT IS PROVIDED TO MEMBERS OF A SELECT GROUP OF MANAGEMENT OR HIGHLY COMPENSATED EMPLOYEES SUCH AS THOSE DESCRIBED UNDER 201(2), 301(A)(3), AND 401(A)(1) OF ERISA. IT IS A FINRA FUNDED PLAN IN WHICH PARTICIPANTS TYPICALLY HAVE A TAXABLE ONE-TIME CLIFF VESTING EVENT AT A SPECIFIED MILESTONE BASED ON BOTH AGE AND YEARS OF SERVICE. THIS PLAN WAS CLOSED TO NEW ENTRANTS AS OF 12/31/05. PARTICIPANTS IN THE NON-QUALIFIED DEFINED BENEFIT PLAN THAT HAD A CLIFF VESTING EVENT IN 2016 INCLUDE: THOMAS R. GIRA - $1,889,230, OF WHICH $273,631 HAD PREVIOUSLY BEEN REPORTED. THE AMOUNTS BELOW REPRESENT THE ACCUMULATED BENEFITS RECOGNIZED IN THE CURRENT YEAR FOR FEDERAL INCOME TAX PURPOSES UPON THE INDIVIDUALS' SEPARATION FROM FINRA AND THE PLAN. THE BENEFITS WERE EARNED WITHIN THE NON-QUALIFIED DEFINED BENEFIT PLAN OVER THE DURATION OF THE INDIVIDUALS' YEARS OF SERVICE TO FINRA. THESE AMOUNTS VARY BY INDIVIDUAL BASED ON YEARS OF SERVICE, COMPENSATION LEVELS AND PAY GRADE, AGE AT SEPARATION, AND PREVIOUS VESTING EVENTS. PARTICIPANTS IN THE NON-QUALIFIED DEFINED BENEFIT PLAN THAT HAD ACCUMULATED BENEFITS RECOGNIZED IN 2016: NONE 2) FINRA'S SUPPLEMENTAL DEFINED CONTRIBUTION PLAN IS A NON-QUALIFIED PLAN THAT IS OPEN TO VICE PRESIDENTS AND ABOVE WITH AN ANNUAL BASE PAY ABOVE THE QUALIFIED LIMIT. IT IS ONLY OPEN TO THOSE NOT PARTICIPATING IN THE CLOSED NON-QUALIFIED DEFINED BENEFIT PLAN DESCRIBED ABOVE. IT IS A FINRA FUNDED PLAN WITH A 3 YEAR VESTING CYCLE WITH ANNUAL VESTING BEGINNING AT AGE 62. PARTICIPANTS IN THE SUPPLEMENTAL NON-QUALIFIED DEFINED CONTRIBUTION PLAN WITH CONTRIBUTIONS VESTING IN 2016 INCLUDE: F. GREGORY AHERN - $85,871 MARCIA E. ASQUITH - $152,377 SUSAN F. AXELROD - $319,856 J. BRADLEY BENNETT - $311,014 CARLO DI FLORIO - $299,606 TRACY B. JOHNSON - $167,936 RICHARD G. KETCHUM - $300,020 STEPHEN M. SCHOENEMAN - $178,096 JONATHAN S. SOKOBIN - $144,509 VOLUNTARY COMPENSATION DISCLOSURE: GREGORY J. FLEMING WAS A VOLUNTEER BOARD MEMBER IN 2016 AND DID NOT RECEIVE COMPENSATION FOR HIS SERVICE. VOLUNTARY DISCLOSURE FOR FINANCIAL INFORMATION FINRA REGULATION, INC. IS A WHOLLY-OWNED SUBSIDIARY OF THE FINANCIAL INDUSTRY REGULATORY AUTHORITY (FINRA). AS THE PARENT ORGANIZATION, FINRA INCURS ALL DIRECT AND INDIRECT EXPENSES, INCLUDING SALARY AND BENEFITS. THE FINANCIAL INFORMATION INCLUDED IN THIS FORM 990 IS PRESENTED ON A STAND-ALONE BASIS, REFLECTING ONLY THOSE AMOUNTS ALIGNED WITH THE PROGRAMS CONDUCTED UNDER THE GOVERNANCE OF THE FINRA REGULATION BOARD OF DIRECTORS. THE STATEMENTS AND SCHEDULES IN THIS FORM 990 DO NOT REPRESENT THE CONSOLIDATED RESULTS FOR FINRA AND ITS SUBSIDIARIES. THE 2016 FORM 990 SHOULD BE READ IN CONJUNCTION WITH FINRA'S 2016 ANNUAL FINANCIAL REPORT, WHICH IS AVAILABLE AT WWW.FINRA.ORG/ABOUT/ANNUAL-REPORTS-FINANCIALS. SEE ALSO SEPARATE 2016 FORMS 990 FOR RELATED ENTITIES INCLUDING FINRA AND FINRA INVESTOR EDUCATION FOUNDATION. FORM 990, PART III, LINE 4 4A) MARKET REGULATION FINRA REGULATION'S MARKET REGULATION DEPARTMENT OVERSEES AND REGULATES TRADING OF ITS MEMBERS ACROSS SECURITIES MARKETS, AND THE OPERATION OF THE OVER-THE-COUNTER SECURITIES DEBT AND EQUITY MARKETS FOR COMPLIANCE WITH FINRA AND MUNICIPAL SECURITIES RULEMAKING BOARD (MSRB) RULES AND FEDERAL SECURITIES LAWS. MARKET REGULATION ALSO PROVIDES REGULATORY SERVICES TO THE BATS, CBOE, ISE, MIAX, NASDAQ AND NYSE GROUPS OF EXCHANGES AS WELL AS THE BOX OPTIONS EXCHANGE AND IEX. IN 2016, MARKET REGULATION OPENED 5,600 REVIEWS OR INVESTIGATIONS AND 240 EXAMINATIONS. IN ADDITION, THE DEPARTMENT REFERRED 537 MATTERS TO THE SECURITIES AND EXCHANGE COMMISSION. 4B) MEMBER REGULATION FINRA REGULATION'S MEMBER REGULATION DEPARTMENT CONDUCTS REGULAR AND BRANCH OFFICE EXAMINATIONS OF ITS MEMBER FIRMS ON A SCHEDULE THAT IS ESTABLISHED BASED ON A RISK-PROFILE MODEL. IN ADDITION, MEMBER REGULATION CONDUCTS REVIEWS AND TARGETED EXAMINATIONS BASED ON INVESTOR COMPLAINTS, REFERRALS FROM OTHER FINRA REGULATION DEPARTMENTS, TERMINATIONS OF BROKERAGE EMPLOYEES FOR CAUSE, ARBITRATIONS AND REFERRALS FROM OTHER REGULATORS. MEMBER REGULATION ALSO DETERMINES EXAMINATION PRIORITIES AND CONDUCTS SPECIAL "SWEEPS" OF ITS MEMBER FIRMS TO TARGET ISSUES OF IMMEDIATE CONCERN. 4C) ENFORCEMENT FINRA REGULATION DISCIPLINES SECURITIES FIRMS AND INDIVIDUALS IN THE SECURITIES INDUSTRY WHO VIOLATE THE FEDERAL SECURITIES LAWS AND RULES AS WELL AS FINRA AND MUNICIPAL SECURITIES RULEMAKING BOARD (MSRB) RULES. THROUGH ITS ENFORCEMENT DEPARTMENT, FINRA BRINGS DISCIPLINARY ACTIONS AGAINST FIRMS AND THEIR EMPLOYEES THAT MAY RESULT IN SANCTIONS, INCLUDING CENSURES, FINES, SUSPENSIONS AND, IN EGREGIOUS CASES, EXPULSIONS OR BARS FROM THE INDUSTRY. IN APPROPRIATE CASES, FINRA WILL REQUIRE FIRMS AND INDIVIDUALS TO PROVIDE RESTITUTION TO HARMED INVESTORS AND OFTEN IMPOSES OTHER CONDITIONS ON A FIRM'S BUSINESS TO PREVENT REPEATED WRONGDOING. IN 2016, FINRA REGULATION BROUGHT 1,434 DISCIPLINARY ACTIONS AGAINST REGISTERED INDIVIDUALS AND FIRMS, LEVIED FINES TOTALING MORE THAN $173.8 MILLION AND ORDERED $27.9 MILLION IN RESTITUTION TO HARMED INVESTORS. IN ADDITION, FINRA EXPELLED 24 FIRMS FROM THE SECURITIES INDUSTRY, BARRED 517 INDIVIDUALS AND SUSPENDED 727 BROKERS FROM ASSOCIATION WITH FINRA-REGULATED FIRMS. 4D) OFFICE OF FRAUD DETECTION AND MARKET INTELLIGENCE FINRA REGULATION'S OFFICE OF FRAUD DETECTION AND MARKET INTELLIGENCE (OFDMI) PROVIDES A HEIGHTENED AND EXPEDITED REVIEW OF ALLEGATIONS OF SERIOUS FRAUDS, OPERATES A CENTRALIZED POINT OF CONTACT INTERNALLY AND EXTERNALLY ON FRAUD ISSUES, AND CONSOLIDATES RECOGNIZED EXPERTISE IN EXPEDITED FRAUD DETECTION AND INVESTIGATION. THIS DEPARTMENT IS RESPONSIBLE FOR CONDUCTING INSIDER-TRADING AND FRAUD SURVEILLANCE FOR ALL OTC, OTCBB, NASDAQ-, NYSE- AND NYSE MKT-LISTED ISSUES ACROSS ALL U.S. MARKETS AS WELL AS CONDUCTING INSIDER TRADING SURVEILLANCE ACROSS ALL U.S. OPTIONS MARKETS. THE DEPARTMENT ALSO HOUSES THE CENTRAL REVIEW GROUP, WHICH IS RESPONSIBLE FOR THE TRIAGE REVIEW OF TIPS, COMPLAINTS AND BROKER-DEALER FILINGS. IN 2016, THE CENTRAL REVIEW GROUP REVIEWED OVER 26,000 MEMBER FIRM FILINGS FOR INDICATIONS OF POTENTIAL FRAUD, COMPLAINTS, TIPS AND ARBITRATION-RELATED MATTERS. IN ADDITION, OFDMI OVERSEES FINRA'S WHISTLEBLOWER PROGRAM. IN 2016, THE INSIDER TRADING SURVEILLANCE, FRAUD SURVEILLANCE, WHISTLEBLOWER AND CENTRAL REVIEW GROUP UNITS CONDUCTED INVESTIGATIONS WHICH RESULTED IN MORE THAN 830 REFERRALS TO THE SEC, OTHER FEDERAL OR STATE REGULATORY OR LAW ENFORCEMENT AGENCIES, OR OTHER INTERNAL FINRA DEPARTMENTS. THESE REFERRALS INVOLVED POTENTIAL INSIDER TRADING, MICROCAP FRAUD, ISSUER FRAUD, PONZI-TYPE SCHEMES, ELDER FINANCIAL ABUSE, ANTI-MONEY LAUNDERING VIOLATIONS, OR OTHER POTENTIAL VIOLATIONS OF FEDERAL SECURITIES LAWS, STATE SECURITIES REGULATIONS OR FINRA RULES. 4E) REGISTRATION AND DISCLOSURE ANY PERSON ENGAGED IN THE SECURITIES BUSINESS OF A FIRM, INCLUDING PARTNERS, OFFICERS, DIRECTORS, BRANCH MANAGERS, DEPARTMENT SUPERVISORS AND SALESPERSONS MUST REGISTER WITH FINRA. THROUGH ITS REGISTRATION AND DISCLOSURE DEPARTMENT, FINRA REGULATION OPERATES CRD, THE CENTRAL LICENSING AND REGISTRATION SYSTEM FOR THE U.S. SECURITIES INDUSTRY AND ITS REGULATORS. FINRA REGULATION ALSO OPERATES THE INVESTMENT ADVISER REGISTRATION DEPOSITORY ON BEHALF OF THE SEC. THESE SYSTEMS CONTAIN THE REGISTRATION RECORDS OF MORE THAN 4,000 FINRA AND OTHER REGISTERED BROKER-DEALERS AND MORE THAN 30,000 INVESTMENT ADVISERS, AND THE QUALIFICATION, EMPLOYMENT, AND DISCLOSURE HISTORIES OF MORE THAN 690,000 ACTIVE REGISTERED INDIVIDUALS, MAKING IT ONE OF THE LARGEST AND MOST SOPHISTICATED ONLINE REGISTRATION AND REPORTING SYSTEMS. FINRA REGULATION ALSO OPERATES THE BROKERCHECK PROGRAM, AN ONLINE SYSTEM FOR INVESTORS TO REVIEW THE BACKGROUNDS OF INVESTMENT PROFESSIONALS. BROKERCHECK CONTAINS RECORDS ON 1.25 MILLION CURRENT AND FORMER BROKERS AND OVER 20,000 CURRENT AND FORMER BROKER-DEALERS. 4F) OFFICE OF DISPUTE RESOLUTION FINRA REGULATION'S OFFICE OF DISPUTE RESOLUTION OPERATES A DISPUTE RESOLUTION FORUM FOR INVESTORS, BROKERAGE FIRMS AND THEIR REGISTERED EMPLOYEES, AND ADMINISTERS ARBITRATIONS AND MEDIATIONS THROUGH A NETWORK OF FOUR REGIONAL OFFICES, WITH 71 HEARING LOCATIONS INCLUDING ONE IN EACH STATE AND PUERTO RICO. IN 2016, THE OFFICE OF DISPUTE RESOLUTION ADMINISTERED APPROXIMATELY 3,700 ARBITRATIONS AND APPROXIMATELY 600 MEDIATIONS. FORM 990, PART VI, LINE 6 FINRA IS THE SOLE NOT-FOR-PROFIT STOCKHOLDER OF FINRA REGULATION, INC. FORM 990, PART VI, LINE 7A FINRA, THE SOLE NOT-FOR-PROFIT STOCKHOLDER, ELECTS ALL MEMBERS OF THE GOVERNING BODY. FORM 990, PART VI, LINE 7B FINRA, THE SOLE NOT-FOR-PROFIT STOCKHOLDER, RETAINS THE FOLLOWING AUTHORITY AND FUNCTIONS: 1) TO EXERCISE OVERALL RESPONSIBILITY FOR ENSURING THAT THE ASSOCIATION'S STATUTORY AND SELF-REGULATORY OBLIGATIONS AND FUNCTIONS ARE FULFILLED. 2) TO DELEGATE AUTHORITY TO THE SUBSIDIARIES TO TAKE ACTIONS ON BEHALF OF THE ASSOCIATION. 3) TO ELECT THE SUBSIDIARY BOARDS OF DIRECTORS. 4) TO REVIEW THE RULEMAKING AND DISCIPLINARY DECISIONS OF THE SUBSIDIARIES. 5) TO COORDINATE ACTIONS OF THE SUBSIDIARY BOARDS AS NECESSARY. 6) TO RESOLVE ANY DISPUTES AMONG THE SUBSIDIARIES. 7) TO ADMINISTER COMMON OVERHEAD AND TECHNOLOGY OF THE SUBSIDIARIES. 8) TO ADMINISTER THE OFFICE OF INTERNAL REVIEW AS PROVIDED IN THE ASSOCIATION'S BY-LAWS. 9) TO MANAGE EXTERNAL ASSOCIATION RELATIONS ON MAJOR POLICY ISSUES. 10) TO DIRECT THE SUBSIDIARIES TO TAKE ACTION NECESSARY TO EFFECTUATE THE PURPOSES AND FUNCTIONS OF THE ASSOCIATION. 11) TO TAKE ACTION AB INITIO IN AN AREA OF RESPONSIBILITY DELEGATED TO SUBSIDIARIES. FORM 990, PART VI, LINE 11B THE FORM 990 WAS REVIEWED BY SENIOR MANAGEMENT AT VARIOUS STEPS THROUGHOUT THE PREPARATION CYCLE. THE AUDIT AND MANAGEMENT COMPENSATION COMMITTEES REVIEWED AND APPROVED THE ORGANIZATION'S 2016 FORM 990 ON SEPTEMBER 26, 2017. THE BOARD WAS PROVIDED ACCESS TO THE FINAL FORM 990 FOR REVIEW (VIA A WEBSITE FOR BOARD MEMBERS ONLY) PRIOR TO FILING. FORM 990, PART VI, LINE 12C THE ORGANIZATION HAS WRITTEN CONFLICT OF INTEREST POLICIES FOR BOARD MEMBERS AND OFFICERS. THE WRITTEN CONFLICT OF INTEREST POLICY FOR BOARD MEMBERS REQUIRES INITIAL DISCLOSURE OF INTERESTS THAT COULD GIVE RISE TO CONFLICTS AS WELL AS ANNUAL DISCLOSURE BY THE SAME BOARD MEMBERS. ADDITIONALLY, THE WRITTEN POLICY CONTAINS AN ONGOING OBLIGATION OF BOARD MEMBERS TO DISCLOSE POTENTIAL CONFLICTS OF INTEREST AS THEY ARISE. FORM 990, PART VI, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS AND THE FINRA CONSOLIDATED AUDITED FINANCIAL STATEMENTS AVAILABLE UPON REQUEST. FORM 990, PART VII, COLUMN B THE OFFICERS LISTED IN FORM 990, PART VII, COLUMN B, DEVOTE AN AVERAGE TOTAL OF 60 HOURS PER WEEK TO THE FILING ORGANIZATION AND ANY OR ALL OF THE FOLLOWING RELATED ORGANIZATIONS: FINANCIAL INDUSTRY REGULATORY AUTHORITY, INC., AND FINRA INVESTOR EDUCATION FOUNDATION. FORM 990, PART XI, LINE 9 OTHER CHANGES IN NET ASSETS OR FUND BALANCES PRIMARILY RELATE TO ANY OR ALL OF THE FOLLOWING: CHANGES IN NET INCOME/(LOSS) AND ELIMINATION OF INTERCOMPANY TRANSACTIONS. FOR ADDITIONAL INFORMATION PLEASE SEE THE FINRA 2016 ANNUAL FINANCIAL REPORT WHICH IS AVAILABLE @ WWW.FINRA.ORG/ABOUT/ANNUAL-REPORT-FINANCIALS. 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