It Is Now Permissible in Most Markets for Brokers to Be

question 305

Multiple Choice

It is now permissible in most markets for brokers to be owned by banks and other principals. Where there is shared management, or a share holding or other investment in a broker by a counterparty:

• A) The broker is not obligated to reveal the connection provided Chinese Walls are in place.
• B) The broker is not obligated to reveal the connection in the professional market.
• C) The broker should advise the other counterparty of the connection.
• D) The matter is covered in the Model Code.

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Definitions:

Work Satisfaction

The level of contentment and positive feelings an individual has regarding their job, based on various factors such as work environment, compensation, and job duties.

Contingency Leadership

Contingency Leadership is a management theory that suggests the effectiveness of a leader is contingent upon how well their leadership style matches the current situation.

Situational Forces

External factors or circumstances that influence behavior, decisions, or events, often beyond individual control.

Frustrating Barriers

Obstacles that create significant challenges or hindrances, leading to feelings of annoyance or discouragement.