Which of the following, under the NASD Conduct Rules, would constitute a complaint?
I. An angry telephone call from a customer to a registered
representative’s (RR) supervising principal, complaining about
the RR’s attitude.
II. A letter, written by a client’s attorney, to the compliance
office of a broker-dealer, which alleges impropriety in the
handling of the client’s discretionary account.
III. A telephone call to a principal in a broker-dealer firm, from
a principal in another firm, alleging that one of the firm’s
RRs has been “stealing” customers.
IV. A hand-written note, sent to a RR, by a customer who is
unhappy with the recommendations and performance of the RR.
a) I, II, III, IV
b) II, IV
c) I, III
d) II, III, IV
The correct answer is b.
The NASD defines a “complaint” as adverse communications that are in writing. Choices I and III are matters that the appropriate principal would look into, but they are not technically complaints.
The correct answer is B. While local practices of a broker-dealer might require the client to sign the form, even when opening ...
The correct answer is b. I, II and III are correct since all parties are required to notify the Administrator.
The correct answer is d. All the choices except II are specific requirements of the Act. In addition, the law places time-of-day ...
I. Moral suasionII. Changing the discount rateIII. Changing the reserve requirementIV. Changing the prime interest rate A. ...
The correct answer is d) Hedge funds are extremely aggressive entities that engage in margin and short-selling. They are ...
The correct answer is c. I is incorrect, since broker-dealers or their agents who don’t receive a fee for making investment ...
A ruling passed by the National Association of Dealers (NASD), ...
A comprehensive set of reform measures designed to improve the ...
A person who works for a brokerage company that is licensed by ...
A program developed by the National Association of Securities ...
Failure by a market maker in a security to honor the quoted bid ...
1. The amount borrowed or the amount still owed on a loan, separate ...