Series 79 practice questionmediumMNPI and Insider Trading
A public company executive unintentionally discloses material nonpublic information during a private call with several analysts. According to Regulation FD, what must the company do?
- AIssue a press release only after the information is published by the media
- BNotify the SEC about the disclosure within 10 days
- CWait until the next quarterly filing to disclose the information
- DPromptly make public disclosure of the information✓ Correct answer
Explanation
Why D — Promptly make public disclosure of the information
Reg FD requires prompt public disclosure of MNPI unintentionally shared with analysts. Waiting or relying on media coverage fails to satisfy the immediate disclosure requirement.
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