SIE Understanding Trading, Customer Accounts and Prohibited Activities Question 16: Answer and Explanation

Question: 16

According to FINRA Rule 2210 – Communications with the Public, which of the following is sent to twenty-five or less retail investors within a thirty-day calendar period?

• A. Institutional communication
• B. Proxy information
• C. Retail communication
• D. Correspondence

Correct Answer: D

Explanation:

D: Choice D is sent to twenty-five or less retail investors within a thirty-day calendar period. Choice A is only provided to institutional investors. A firm's internal communications is excluded from this definition. Choice B is a category of communications with the public in FINRA Rule 2210. Choice C is sent to more than twenty-five retail investors within a thirty-day calendar period.