SIE practice questionmediumFiduciary Duty
A registered representative making a trade unsuitable for a client violates which duty?
- ABest execution requirement
- BMarket order priority
- CFront-running
- DFiduciary duty✓ Correct answer
Explanation
Why D — Fiduciary duty
Making unsuitable recommendations violates fiduciary duty. Front-running and order priority are unrelated. Best execution concerns trade handling.
Turn it into reps
Reading one answer is not the same as being ready
Lucky the Banker is a free practice app with 1,867+ SIE questions, weak-area tracking, and timed mock exams. No credit card, no paywall.
Related Customer Accounts & Suitability questions
- An agent receives a limit order from a client to buy 400 shares of LMN stock at $35. While waiting for the limit to be…
- A registered representative must always act in the:
- Which piece of information is NOT required to open a standard individual brokerage account?
- A registered representative who places trades that are most advantageous to the client is upholding which standard?