SIE practice questioneasyMSRB Rules
MSRB rules prohibit municipal securities dealers from which activity?
- ABuying municipal bonds for customer portfolios
- BBacking fictitious trades to inflate prices✓ Correct answer
- CProviding official statements to investors
- DExecuting market orders for clients
Explanation
Why B — Backing fictitious trades to inflate prices
MSRB rules prohibit fraudulent activities such as executing fictitious trades. The other listed activities are permitted and may be required.
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