Meeting Obligations to Customers Regarding Orders: Rapid Fire

What this video covers

• How reasonable diligence and best execution apply when a member acts as agent or principal, including the five open-list factors and the limit on interpositioning
• Why the 5% Policy is only a guide, disclosure does not cure an unfair price, and an unsolicited routing instruction still requires prompt processing
• What makes a net transaction, and how written order-by-order consent differs from negative consent or documented oral consent for institutional customers with total assets of at least $50 million
• When extended-hours trading may begin, why an individual risk disclosure must come first, and why an alternative statement must identify at least six risks
• How cash dividends, stock dividends, and splits adjust resting orders on the ex-dividend day, including the under-one-cent, Do Not Reduce, and Do Not Increase exceptions
• Why a reverse split cancels a resting order, when indeterminate value requires reconfirmation, and which orders are excluded from adjustment
• How to distinguish a transaction-triggered stop order from a quote-triggered order, why not held changes the rule, and how every equity sell order is marked long, short, or short exempt