NYSE Shortens Retake Waiting Periods for Failed Exams

NYSE filed a rule change with the SEC to shorten the wait before an associated person of an NYSE member organization can retake a failed qualification exam.

The change amends Commentary .05 to NYSE Rule 1210 ("Registration Requirements"). The wait after a first or second failed attempt falls from 30 calendar days to 15. The wait after a third or later failure within two years falls from 180 calendar days to 60.

The shorter periods cover the Securities Industry Essentials exam and the representative and principal exams under NYSE Rule 1220 ("Registration Categories").

NYSE said the change conforms its rule to a recent amendment to FINRA Rule 1210 ("Registration Requirements"), Supplementary Material .06. Matching periods would reduce confusion for firms and individuals subject to both regimes. NYSE will announce an implementation date in a Regulatory Memo around the time FINRA publishes its Regulatory Notice.

NYSE cited FINRA's rationale: (i) large question banks mean repeat test takers see only a small subset of questions, (ii) FINRA uses data forensics to detect misconduct, and (iii) industry said the waits burdened new entrants. NYSE received no written comments.

NYSE filed on September 10, 2026, and the change took effect on filing. NYSE said it does not significantly affect investor protection or burden competition, so it qualifies under Exchange Act Rule 19b-4 ("Filings with respect to proposed rule changes by self-regulatory organizations"). The SEC may suspend the change within 60 days of filing if it finds suspension necessary or appropriate.

Comments on File No. SR-NYSE-2026-44 are due by October 16, 2026.