SIE practice questionmediumInsider Trading
A company executive learns nonpublic, material information about a pending merger and trades shares. This is a violation of:
- AMunicipal bond rules
- BSuitability standards
- CFINRA continuing education rules
- DInsider trading laws✓ Correct answer
Explanation
Why D — Insider trading laws
Trading on material, nonpublic information is illegal insider trading. Suitability, education requirements, and muni bond rules do not apply.
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