Series 79 practice questionmediumRule 144
Which of the following is a volume limitation under Rule 144 for an affiliate selling stock of a public company?
- A5% of the public float per quarter
- BGreater of 1% of outstanding shares or the AWTV during the prior four weeks✓ Correct answer
- CNo more than 10,000 shares per year
- DGreater of 2% of public float or $50,000 in value per month
Explanation
Why B — Greater of 1% of outstanding shares or the AWTV during the prior four weeks
Affiliates may sell the greater of 1% of shares outstanding or the average weekly trading volume for the prior four weeks. The trap is confusing this with the incorrect percentages or time periods.
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