SIE Knowledge of Capital Markets Practice Question 27

Question: 27

MSRB Rule G-32 – Disclosures in Connection with Primary Offerings requires reporting if the municipality issuing bonds has chosen to give priority to which of the following investors?

Correct Answer: B

Explanation:

B: Choice B is correct because MSRB Rule G-32 requires reporting if retail investors are given priority by the municipality issuing the bonds. Choice A is incorrect because ordinary is not a regulatory category of investors. Choices C and D are incorrect because the rule does not require reporting if the municipality gives priority to accredited or institutional investors.

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