Exercise
Answer True or False
1. True or false. An officer of a broker-dealer is considered a customer and must receive customer statements.
2. True or false. When a broker-dealer finds a material weakness in its system, the member firm has 48 hours to file a notification with the SEC and provide a copy to the independent public accountant.
3. True or false. When a broker-dealer is located on bank premises, it must provide written disclosure to each customer that its services are provided by the firm and not the bank, and the disclosure must be made before the customer’s account is opened.
4. True or false. The Securities Investor Protection Corporation has authority to combat investment fraud.
5. True or false. Broker-dealers are only required to have fidelity bond coverage if they have joined SIPC.
6. True or false. A member with a net capital requirement of less than $250,000 must maintain fidelity bond coverage of at le