Manipulative, Deceptive, and Fraudulent Devices

What this video covers

• The scope of the NASAA catch-all prohibition on manipulative, deceptive, or fraudulent devices, practices, plans, programs, designs, or contrivances
• Why the wash trade test is strictly no change in beneficial ownership, and why different account names for the same controller do not create a loophole
• What defines a matched order: substantially the same size, time, and price on opposite sides, and why the rule language does not require different parties
• The bona fide agency cross transaction exception, and why matching a real independent buyer with a real independent seller is perfectly legal
• Why painting the tape requires a sustained series of transactions with the purpose of inducing others to trade based on artificial activity or price movement
• How to distinguish matched orders from painting the tape when the exam describes thinly traded stocks traded back and forth, using duration and pattern as your clues
• Why even an entirely novel manipulation tactic still falls under the broad catch-all prohibition