Giao dịch, Tài khoản & Hành vi cấmCâu 254 / 398
An executive tells his neighbor that his company will announce a surprise merger tomorrow. The neighbor buys the stock that afternoon and profits when the news breaks. Which statement is correct?
a.Only the executive can be liable; the neighbor did nothing wrong
b.No violation occurred because the neighbor is not an employee
c.The neighbor (a tippee) can be liable for insider trading for using material nonpublic information
d.Insider trading applies only to trades of over one million dollars
Giải thích
A tippee who trades on material nonpublic information tipped in breach of a duty can be held liable for insider trading, and so can the tipper. Liability does not require being a corporate insider or a minimum dollar amount.
Trích dẫn luật: Insider Trading and Securities Fraud Enforcement Act of 1988Luyện miễn phí toàn bộ 398 câu hỏi — không cần đăng ký.
Câu hỏi liên quan cùng chủ đề
- An individual wants to name specific people to receive her brokerage account assets at her death, without going through probate, while keeping full control during her lifetime. Which account registration accomplishes this?
- What is the purpose of the Automated Customer Account Transfer Service (ACATS)?
- Illegal insider trading generally involves trading a security while in possession of information that is both:
- A group spreads false, glowing rumors about a thinly traded stock they own to drive up the price, then sells their shares into the buying frenzy, leaving new buyers with losses. This scheme is called:
- A trader enters large buy orders he intends to cancel before execution, hoping to trick others into thinking demand is rising so he can sell at a higher price. What is this prohibited practice?
- A trader learns his firm is about to place a very large customer buy order that will likely push the price up. He quickly buys the stock for his own account first. This is best described as:
Cập nhật gần nhất: · quy trình kiểm tra
Đội Ngũ Biên Tập PrepPass · Đối chiếu với FINRA Securities Industry Essentials (SIE) Exam · Quy trình kiểm tra