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Business, 03.03.2020 05:48 sanchitcoolcham7362

A broker learns that one of his institutional clients is about to enter a buy order for 10,000 shares of ABC stock. The broker tells one of the principals of the broker-dealer and the broker-dealer immediately enters a proprietary buy order for 10,000 shares of ABC stock ahead of the client's order. This trade is generally prohibited as front running but would be permitted if:

[A] The firm can demonstrate that the trade is unrelated to the customer's block order
[B] The trade was made to fill or facilitate the customer's block order
[C] The trade is executed on a national stock exchange and in compliance with its rules
[D] All of the above.

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A broker learns that one of his institutional clients is about to enter a buy order for 10,000 share...

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