Series 7 practice questioneasyMarketing and Prospecting — Referral Fees
A registered representative may pay a referral fee to:
- ATo friends or family members who refer new clients
- BOnly to a registered person at their broker-dealer✓ Correct answer
- CTo any employee of the firm, registered or not
- DAny person, regardless of registration status
Explanation
Why B — Only to a registered person at their broker-dealer
Referral fees may only be paid to properly registered persons at the same broker-dealer to comply with FINRA rules.
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