Which statement about the New York Stock Exchange is FALSE?

By Peter Cherewyk AAA
A:

A. It is a self-regulating organization.

B.
Employees of members cannot open accounts at competing broker-dealers.

C.
It permits coded accounts.

D.
It requires written authorization from a customer before an employee of a member can exercise discretionary power over an account.




Correct answer: B



Employees of members are not prohibited from opening accounts at competing broker-dealers, but this action is strictly regulated.



RELATED FAQS

  1. How does the combined ratio measure the financial health of insurance companies?

    Learn about the combined ratio, what the combined ratio measures and how it is used to measure the financial health of insurance ...
  2. How do the C-suite members work together to make a successful company?

    Learn more about the C-suite titles and how the executive team successfully runs a large or small organization. Find out ...
  3. Which markets are most prone to market failure from adverse selection?

    Read about which markets are most prone to market failure from adverse selection and why information cannot effectively be ...
  4. How does adverse selection affect insurance premiums?

    Find out what causes adverse selection in the insurance market and why it drives up premiums for all policyholders.
RELATED TERMS
  1. Lloyds Organizations

    An insurance syndicate that bases its organizational structure ...
  2. Market Value

    The price an asset would fetch in the marketplace. Market value ...
  3. Bulldog Market

    A nickname for the foreign bond market of the United Kingdom. ...
  4. Volcker Rule

    The Volcker rule separates investment banking, private equity ...
  5. Float Shrink

    A reduction in the number of a publicly traded company’s shares ...
  6. Capital Strike

    A refusal of businesses to invest in a particular sector of the ...

You May Also Like

Related Articles
  1. Fundamental Analysis

    What are some examples of Cash Flow ...

  2. Mutual Funds & ETFs

    Which ETF is the Best Bet: VTI or IWV?

  3. Investing

    4 Hottest IPOs in 2015

  4. Stock Analysis

    Why Should You Invest In Stratasys Today?

  5. Trading Strategies

    Risk Management Techniques For Shorting ...

Trading Center