Lecture 6 Flashcards
1
Q
What is a PPN
A
Principal protected note (Linked Notes or Return Notes)
2
Q
What is the purpose of a PPN
A
Guarantee the returns by buying insurance to cover the amount of your principal investment and then investing your money in an underlying investment
3
Q
Who sells PPNs
A
Insurance Companies
4
Q
What is Standard 4?
A
Duties to Employers
5
Q
Standard 4(A)
A
Loyalty
6
Q
Loyalty meaning
A
Protect the interests of the company by refraining behavior that would injure the firm
7
Q
Standard 4(B)
A
Additional Compensation Arrangements
8
Q
Additional Compensation Arrangements
A
Don’t accept gifts, benefits, compensation unless you receive written consent
9
Q
Standard 4(C)
A
Responsibility of supervisor
10
Q
Responsibility of supervisor
A
Supervisors must make efforts to detect and prevent violations
