RegulationsPregunta 63 de 110
Which practice is permitted when presenting mutual fund performance in a retail communication?
a.Showing only the fund's best three-year period
b.Projecting the fund's expected return over the next five years
c.Describing a bond fund's yield as guaranteed because the portfolio is investment grade
d.Showing standardized average annual total returns for 1-, 5-, and 10-year periods, or the life of the fund
Explicación
Standardized total returns for the required periods, current as of the most recent quarter end, give investors a consistent basis for comparison. Cherry-picking a favorable period, projecting future performance, and calling any return guaranteed are all misleading and prohibited. Communications must also disclose that past performance does not predict future results.
Referencia Legal: FINRA Rule 2210 (Communications with the Public)Practica las 110 preguntas gratis — sin registro.
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