Brokerage Support Services

Question 1

What is the flow of an order through a brokerage firm?

Answer 1

(Other People Might Care). Order dept, P&S dept, Margin dept, Cashiering dept. (order room = wire room as well)

Question 2

Define dvp (delivery vs. payment)

Answer 2

usually institution clients, sooner of 35 business days or delivery

Question 3

when must a customer receive a trade confirmation?

Answer 3

written confirmation at or before completion of the transaction, the settlement date

Question 4

a municipal bond in default is in good delivery how?

Answer 4

if it has all unpaid coupons: past due, currently due, and subsequently due.

Question 5

government agencies settle in how many days?

Answer 5

T + 3 b/c they trade like corporates

Question 6

when must broker to broker confirms be sent?

Answer 6

the day after the trade (T +1)

Question 7

if there is a fail to deliver, can the seller still be paid?

Answer 7

no

Question 8

contested proxy (proxy contest) solicitation, all those soliciting proxies from shareholders must register with who? (FINRA, SEC, OCC?)

Answer 8

SEC