A broker-dealer has a networking arrangement with a bank. Which of the following must be clearly disclosed to customers at or prior to the time of account opening to comply with applicable regulations?

1. AThat the broker-dealer is a wholly owned subsidiary of the bank
2. BThat customers will receive a bonus if they maintain a certain account balance
3. CThat the investment products offered are only available to bank employees
4. DThat securities are not FDIC insured, may lose value, and are not guaranteed by the bank✓ Correct answer

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