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26 August, 11:41

An investor asks a registered representative to underline the most important facts found in a preliminary prospectus. The registered representative:

a. May not do this since it violates federal securities laws

b. May do this with the approval of a principal at the firm

c. May do this with the approval of FINRA

d. May do this without restrictions or approvals

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  1. 26 August, 14:20
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    Answer: The correct answer is "a. May not do this since it violates federal securities laws".

    Explanation: The registered representative: May not do this since it violates federal securities laws.

    As much as the registered representative has the approval of a company director or FINRA, he cannot underline the most important facts found in a preliminary prospectus because he would go against federal securities laws.
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