🏦LTB
Series 7: Seeks Business for the Broker-Dealer
Series 7 practice questionmediumMarketing and Prospecting — Responding to Prospect Inquiries

A prospective client contacts a registered representative via email requesting more information about municipal bonds. Which is the most appropriate next step?

  1. AAutomatically add the prospect to marketing email lists.
  2. BDiscuss specific municipal securities only after confirming the prospect’s suitability.✓ Correct answer
  3. CSend investment recommendations immediately.
  4. DSend a generic municipal bond brochure without principal approval.
Explanation

Why BDiscuss specific municipal securities only after confirming the prospect’s suitability.

Suitability must be determined before making specific investment recommendations, even in response to client-initiated inquiries.

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