Accounts & CustomersPregunta 68 de 125
Under Regulation Best Interest (Reg BI), when a broker-dealer makes a recommendation to a retail customer, it must:
a.Guarantee a profit on the recommendation
b.Act in the retail customer's best interest and not place its own interests ahead of the customer's
c.Recommend only proprietary products
d.Avoid disclosing any conflicts of interest
Explicación
Regulation Best Interest, adopted under the Securities Exchange Act of 1934, requires broker-dealers to act in the retail customer's best interest at the time a recommendation is made and not to put the firm's financial interests ahead of the customer's. It includes disclosure, care, conflict-of-interest, and compliance obligations.
Referencia Legal: Securities Exchange Act of 1934Practica las 125 preguntas gratis — sin registro.
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