7.3.6.4. Security Futures Products
Members and their associates that are registered as broker-dealers under the Securities Exchange Act of 1934 may not use any promotional material that specifically refers to security futures products unless all of the information in this section holds true. Note that the information in this section is only for NFA member firms that are also registered as broker-dealers.
All promotional material for securities futures products must:
• Prominently identify the member
• Include the date that the material was first used
• Provide contact information for obtaining a copy of the disclosure statement for security futures products
• State that security futures products are not suitable for all customers
• Must be reviewed and approved in writing, by a designated security futures principal prior to first use
• Disclose the source of any statistical tables, charts, graphs, or other illustrations from a source other than the member
• State that supporting documentation will be furnished upon request if it includes any claims, comparisons, recommendations, statistics, or other technical data
Promotional material for securities futures products cannot include:
• Any statement suggesting that security futures positions can be liquidated at any time
• Any cautionary statement, caveat, or disclaimer that is not legible; that attempts to disclaim responsibility for the content of the promotional material; or that is misleading
Promotional material that includes current recommendations regarding security futures products may be used only if the member has a reasonable basis for the recommendation and the promotional material discloses all material conflicts of interest created by its activities in the underlying security.
Promotional material must provide only a general description of the security futures products for which accounts or orders are being solicited. The name of the member