Chapter 14 Flashcards
Trade tickets, correspondence, confirmations, retail communication, institutional communication and employment records must be maintained for:
three years
A written customer complaint is retained for _____ from the date of its resolution.
four years
A change of address notification must be sent within ___ days.
30 days
A proprietary product of a delivering organization or an asset that is the product of a third party.
A non-transferrable asset
When transferring an account using ACATS, the receiving firm will submit a(n):
Transfer Initiation Form data
Term basis
The total cost to acquire an asset
U.S Government and municipal securities are traded:
Over-the-Counter
If a client wins one million dollars the registered representative should:
update the account form
Duration
The measure, expressed in years, of a bond’s price sensitivity to interest rate changes
For riskless principal transactions, as well as transactions in Nasdaq or third market securities _____ must be disclosed on a confirmation.
markups
Real interest rate (real rate of return)
Interest rate - inflation rate
When it receives a transfer request, the _____ firm submits a list of the assets in ACATS.
delivering
May a brokerage firm place a temporary hold on a securities transaction?
No, since this is beyond the scope of SRO rules.
FINRA rules permit a brokerage firm to put a temporary hold on the disbursements or transfers of funds.
A soft-dollar arrangement should benefit the:
customer
