Series 7 practice questionmediumMarketing and Prospecting — Prospecting Methods
A representative is hosting a seminar to attract new clients. Which of the following is correct regarding seminar invitations?
- AInvitations must be pre-approved by a principal if they discuss investment products.✓ Correct answer
- BOnly physical mail requires approval, not digital communications.
- CFINRA must approve all seminar invitations.
- DNo approval is needed if sent via email.
Explanation
Why A — Invitations must be pre-approved by a principal if they discuss investment products.
Any written communication to more than 25 retail investors within 30 days that discusses investment products is considered retail communication and requires principal approval.
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