1 Flashcards
FINRA must receive short interest reports on Nasdaq-listed securities from members no later than what day and time?
6:00 pm on the second day after each reporting settlement date
The SEC defines a research report as a client communication that analyzes individual securities distributed to at least how man person?
15
The stated rate of interest is contained in the customer credit agreements signed whn opening margin accounts…true or false
false
A fictional name or DBA may be used, provided tge name is filed with which two agencies?
FINRA and SEC
What may a member firm or a natural person be fined in found to have engaged in insider trading?
Firm - 25 million
Natural person - 5 million and 20 years in prison
A registered rep meets with certain clients, by appointment, at a local library twice a month. This is an example of a(n):
office of convenience
For a member firm going public, can employees of the member purchase shares at the offering price? can the member negotiate repurchase agreements with customers who purchase the shares?
Employees CAN purchase shares. Repurchase agreements are never permitted with respect to nonexempt securities
Which of the following exemption provision of the Act of 1933 may NOT be used for an initial offering of securities:
Rule 147, Regulation A, Regulation D or Rule 144
Rule 144. It does not pertain to primary offerings, it affect secondary market transactions in restricted or control securities
The mandatory closeout of short sales not resulting in delivery applies to what?
Threshold securities, which are defined as equity securities that hae a clearing short position of 10,000 shares or more and are equal to at least .5% of the issuer’s total shares outstanding.
The limit order protection rule is in effect during when?
normal business hours and extended trading hours. (9:30 am and 6:30 pm
Which of the following terms does NOT apply to ACT?
trade execution, trade reporting, trade review and trade comparison
trade execution. ACT is not an execution system
Under the Hart-Scott Rodino Act, a report must be filed with the FTC if the value of the proposed acquistion or merger exceeds what?
68.2 million
The trade Reporting Facility (TRF) reprorts trades in what?
Nasdaq stocks and NYSE-listed stocks traded in the third market
Under the provisions of Rule 144, what is the minimum holding period for the sale of control stock aquired through an open-market purchase?
No holding period required. The seller is an affiliate and the stick is registered so the sale is subject to colume restrictions no there is no holding period.
A Nasdaq stock closes at 15.00 and goes ex-dividend the following morning for a $.045 cash dividend. The opening price will be what?
14.95 - if the dividend is nto a whole number you round up