SIE practice questionmediumProhibited Transactions
Which of the following client instructions must never be followed by a registered representative?
- APurchase municipal bonds for income.
- BSell shares for a client at the market price.
- CRebalance a client’s portfolio.
- DExecute a trade based on non-public material information.✓ Correct answer
Explanation
Why D — Execute a trade based on non-public material information.
Trading based on non-public material information is illegal. The others are legitimate investment instructions.
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