Churning Occurs When a Broker Engages in Excessive Trading in a Client's

question 22

True/False

Churning occurs when a broker engages in excessive trading in a client's security account to generate more commissions for the broker.

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Definitions:

Collectivist Culture

A social pattern that stresses the importance of the group over individual achievement, emphasizing interdependence.

Personality Traits

Enduring characteristics or tendencies that influence an individual's behavior across situations.

Group Membership

The state of belonging to a group, which can affect an individual's identity, behavior, and social interactions.

Maslow

Refers to Abraham Maslow, a psychologist known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization.