Exercise
Answer yes or no—Has the agent been properly supervised?
- 1. _ An agent of a broker-dealer commits securities fraud; however, the broker-dealer has an appropriate supervisory system in place.
- 2. _ An agent of a broker-dealer has a spotless record on all transactions she has effected, but she has not attended a compliance meeting in the past 18 months.
- 3. _ A firm has a set of procedures, each of which follows FINRA and SEC guidelines, yet those procedures have not been put in writing.
Answers
- 1. Yes. So long as an appropriate supervisory system and procedures have been put in place, the actions of this agent do