What happens to the registration of an agent if they are terminated from their current employer?

When an agent is terminated from their current employer, their registration is immediately canceled. This means that the agent is no longer authorized to conduct business on behalf of the broker-dealer or investment advisor they were associated with. The immediacy of the cancellation is an important aspect of regulatory compliance, ensuring that agents can only act under the supervision of a registered firm.

In most jurisdictions, there isn't a grace period where the registration remains active after termination. This protects investors and maintains the integrity of the financial markets, as it ensures that only individuals currently employed by registered entities can engage in securities transactions.

It's also worth noting that while an agent can apply for a new registration with a different employer after termination, the registration from the previous employer does not automatically transfer to the new employer. This emphasizes the importance of maintaining current registration status when transitioning between firms.