Identify the Procompetitive Effect of Banks' Expansion of Their Securities

question 67

Multiple Choice

Identify the procompetitive effect of banks' expansion of their securities activities.

• A)Reduces the degree of underpricing of new issues.
• B)Encourages stuffing of fiduciary accounts.
• C)Increased provision of cheap loans on the implicit condition that this loan is used to purchase securities.
• D)Use of lending powers by a bank to coerce a customer to buy the products sold by its securities affiliate.