When a financial advisor is contemplating a move to a new firm, they may question whether they should, or should not, disclose negative events from their past on Form U4. If there is ever any question about whether a disclosure to a prospective employer should be made, it’s almost always better to err on the side of caution and make the disclosure.
This is especially important in today’s hypervigilant compliance environment. Sometimes, a failure to disclose even the most mundane or long-forgotten youthful indiscretions could lead to career-damning consequences, essentially costing the advisor their job and possibly being banned from the securities industry.
