Trading, Accounts & Prohibited ActsQuestion 229 of 398
Under SEC rules, when must a broker-dealer send a customer a written confirmation of a securities transaction?
a.Within 30 days of the trade
b.Only upon the customer's request
c.At or before completion of the transaction (generally by settlement)
d.Only at the end of the calendar year
Explanation
SEC Rule 10b-10 requires a broker-dealer to send a trade confirmation at or before completion of the transaction, which is generally the settlement date. The confirmation discloses key details such as price, capacity (agency or principal), and any commission or markup.
Law Reference: Securities Exchange Act of 1934Practice all 398 questions free — no signup required.
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