If a broker dealer obtains information during the performance of duties to an issuer of securities, it may not use that information to solicit business. A broker dealer may obtain information from an issuer while acting as:

  • An underwriter
  • Transfer agent
  • Paying agent
  • Investment banker

Registered representatives and broker dealers may not disclose any information regarding clients to a third party, without the clients expressed consent or without a court order. If the client is an issuer of securities and the broker dealer is an underwriter, transfer agent, or paying agent for the issuer, then the broker dealer is precluded from using the information it obtains, regarding the issuer’s security holders, for its own benefit.

Series 62 textbook

 

Borrowing And Lending Money

Related Articles
  1. Investing

    What Is a Broker-Dealer and Why Should You Care?

    Before deciding who to use for help with your investing, learn what brokers, dealers, and broker-dealers are and what services they provide.
  2. Investing

    Would You Make A Good Real Estate Broker?

    How to tell if you'd be good in this field. It is a common second career for many people, but isn't a good match for everyone.
  3. Investing

    What Are The Differences Among A Real Estate Agent, A Broker And A Realtor?

    All three work in the real estate field, but there are differences between the job descriptions.
  4. Financial Advisor

    How to Find the Best Life Insurance Agent

    Choosing a life insurance agent is the first and most important step in obtaining coverage. Buyers should pay attention to five key factors.
  5. Investing

    How Real Estate Agent and Broker Fees Work

    Buying or selling a home? What you need to know about real estate agent and broker fees.
  6. Investing

    Career Comparison: Real Estate Agent or Mortgage Broker

    Considering a career as a Real Estate Agent or Mortgage Broker? This article can help you understand important differences between these careers.
  7. Investing

    Picking your first broker

    If you're a rookie investor, choosing a broker may be your first big investment decision. Learn more on whether you should you go with a full-service broker or a discount broker.
  8. Financial Advisor

    A Day in the Life of a Real Estate Agent

    There are no set hours and no set days. While every day is unique for a real estate agent, there are some activities that may be typical.
Trading Center