Free Series 24 License Exam Questions That Helps Candidates Pass

Fingerprint records must be retained for 3 years after employee termination (SEC Rule 17f-2). Options A, B, and D are incorrect. Supervisors must maintain fingerprint files securely for compliance.

TRACE is used for reporting corporate bond and agency securities trades. EMMA is for municipals, ORF for OTC equities, and CAT for audit trail. Supervisors must confirm bond trade reporting is prompt and accurate.

Analysts must disclose ownership interests in the issuer by themselves or household members. Options B–D are not mandated disclosures. Supervisors must verify conflict-of-interest disclosures in all research publications.

To exercise discretion, firms must obtain written power of attorney or trading authorization from clients. Verbal consent is insufficient. Supervisors must confirm proper documentation before discretionary trading occurs.

Rule 2241 requires disclosure of firm compensation received from the issuer within the past 12 months to highlight potential conflicts of interest. Options A and C overstate disclosure requirements, and D is speculative. Supervisors must ensure disclosures are accurate and complete.