Under normal circumstances, how many principals are general securities firms required to have?

General securities firms are required to have two principals as part of their supervisory structure. This requirement is set by the Financial Industry Regulatory Authority (FINRA) to ensure that firms maintain a sufficient level of oversight and compliance with regulatory standards. Having two principals allows for a division of responsibilities and enhances the ability to supervise business activities effectively. This arrangement is crucial for the integrity of the firm and helps to protect investors by ensuring that at least two qualified individuals are overseeing the firm's operations and compliance obligations. This dual-principal system is designed to mitigate the risk of inadequate supervision, which can lead to regulatory violations or unethical practices.