The Financial Industry Regulatory Authority is on an arbitrator hiring spree.
The independent securities regulator is looking to add to its roster of arbitrators to tackle a burgeoning caseload.
New case filings surged by 43% in 2009 over the previous year, according to a FINRA spokesman. And 2008 was an unusually busy year, recording the largest influx of filings since 2004.
FINRA has 6,100 arbitrators and the number it wants to hire is "open ended," the spokesman said.
The work is akin to sitting on a jury and the pay isn't bad for a part-time sideline. Arbitrators receive $200 for a single-session hearing, which could be four hours, and $400 for double-session hearing, which average about two-and-a-half days. Requirements include five years' business or professional experience, two years of college credits and FINRA arbitrator training. Tuition is $125 for online, video or classroom training.
Arbitrators must pass a 25-question, multiple-choice exam with an 80% grade. There is also an $80 application fee that's nonrefundable.
The organization recently put out a call for hundreds of arbitrators from around the country to serve on hearings for cases filed against Morgan Keegan related to the collapse of three mutual funds holding CDOs and subprime-related securities.
FINRA recently increased the pool of available arbitrators to 721 in each of eight cities where the cases are being held. These include Atlanta, New Orleans, Orlando, Fla., and Birmingham, Ala. The pools typically average 87.
Write to Laura Lorber