Trade Volume Advertising
Chapters in this video
- 0:00 Trade volume advertising and triple-rule risk
- 1:28 Publication rule media and causing publication
- 2:44 Transaction reports and bona fide standards
- 4:08 Quotation standards and three required limbs
- 5:51 Unpriced formulas count as quotations
- 6:52 Zero margin for advertised volume
- 8:00 Rapid-fire exam recap
What this video covers
- Why an advertisement of a firm's own trading volume is treated as a communication purporting to report transactions
- Which notices, circulars, advertisements, articles, investment services, and other communications fall under the publication rule
- Why causing a third party to publish trading figures creates the same responsibility as publishing them directly
- The difference between the rule's believes standard and the supplementary material's knows or has reason to believe standard for transaction reports
- The three rules implicated by false transaction reports or quotations: standards of commercial honor, manipulative and deceptive devices, and publication of transactions and quotations
- The three quotation conditions requiring reasonable cause to believe a quote is bona fide, not fictitious, and not circulated for a fraudulent, deceptive, or manipulative purpose
- Why bid wanted and offer wanted count as quotations, and why there is zero numeric margin of error for the transactions included in advertised trade volume
Read the full lesson, free
This video's complete written lesson is free to read in the CertFuel app, no signup wall. The complete Series 57 course also includes adaptive practice questions and spaced-repetition flashcards, available in Free Beta.