Series 7 Exam Question 159: Answer and Explanation

Question: 159

According to FINRA rules, what is the maximum amount of retail persons a brokerage firm may send promotions to in a 30-day period for the promotions to be considered correspondence?

• A. 1
• B. 10
• C. 25
• D. Unlimited

Correct Answer: C

Explanation:

C. Under FINRA rules, correspondence represents promotions sent to 25 or fewer retail persons in a 30-day period. Correspondence would not have to be approved by a principal, although record of the correspondence must be maintained by the brokerage firm for at least three years.