Series 7 Exam Question 117: Answer and Explanation

Question: 117

Which of the following is a third market trade?

• A. An exchange listed security trading over the counter
• B. An unlisted security trading over the counter
• C. An exchange listed security trading on an exchange
• D. Institutional trading without using the services of a broker-dealer

Correct Answer: A

Explanation:

A. A third market trade takes place when an exchange-listed security trades over the counter.