Conflicts and Allocations

What this video covers

• When a Qualified Independent Underwriter (QIU) must be engaged, the three-similar-deals-in-three-years experience requirement, and why a QIU must accept real underwriter civil liability
• The restricted-persons rule for new-issue equity allocations, who counts as a restricted person, and the materially supported test for immediate-family members
• The written representation of account eligibility requirement: what it is, why the 12-month renewal is absolute, and what happens without it
• The spinning prohibition versus the restricted-persons rule: how to distinguish quid-pro-quo corporate kickbacks from industry-insider allocations
• Flipping rules: why customers may freely flip within 30 days, what firms cannot do to recoup concessions, and the sole exception for syndicate-wide penalty bids
• The escrow rule for contingent offerings (all-or-none and min-max), the mandatory third-party bank or trustee requirement, and why holding funds in the broker-dealer's own clearing account constitutes fraud