Series 79 practice questionmediumDue Diligence Defense
During the quiet period following an IPO, which of the following is generally prohibited for participating underwriters?
- APublishing research reports prepared before effectiveness
- BCommunicating with institutional investors about non-deal roadshows
- CPublishing research reports related to the offering company✓ Correct answer
- DAttending company earnings calls as listeners only
Explanation
Why C — Publishing research reports related to the offering company
Underwriters are generally barred from publishing research reports on the issuer during the quiet period to avoid conflicts of interest. The other activities may be allowed under specific circumstances.
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