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NEW QUESTION: 1
Which of the following is not a prohibited practice for a broker-dealer?
A. waiting 36 hours before mailing a check after receiving a request for a cash withdrawal from a client if
the client has that much cash available in his account
B. requiring that a client who is engaged in margin transactions leave the securities with the broker-dealer
in "street name"
C. recommending a security to a new client without first ascertaining that client's level of risk tolerance
D. executing a trade for an account holder based on instructions from the account holder's spouse
Answer: B
Explanation:
It is not prohibited for a broker-dealer to require that a client who is engaging in margin
transactions to leave the securities with the broker in "street name." This is the normal business practice.
A margin transaction means that the client is borrowing part of the funds he's investing, and the securities
are serving as collateral for the loan. It is illegal to delay sending a check upon receiving a request for a
cash withdrawal, assuming the client has the cash available in his account; to recommend a security to a
client without knowing anything about him, including his tolerance for risk; and to execute a trade on
instructions from anyone other than the account holder unless that party has at least limited power of
attorney.

NEW QUESTION: 2
There is a large gap between the privacy laws of the United States and those of the European Union. Bridging this gap is necessary for American companies to do business with European companies and in European markets in many situations, as the American companies are required to comply with the stricter requirements.
Which US program was designed to help companies overcome these differences?
A. Safe Harbor
B. SOX
C. HIPAA
D. GLBA
Answer: A
Explanation:
The Safe Harbor regulations were developed by the Department of Commerce and are meant to serve as a way to bridge the gap between privacy regulations of the European Union and the United States. Due to the lack of adequate privacy laws and protection on the federal level in the US, European privacy regulations generally prohibit the exporting of PII from Europe to the United States. Participation in the Safe Harbor program is voluntary on the part of US organizations.
These organizations must conform to specific requirements and policies that mirror those from the EU, thus possibly fulfilling the EU requirements for data sharing and export. This way, American businesses can be allowed to serve customers in the EU. The Health Insurance Portability and Accountability Act (HIPAA) pertains to the protection of patient medical records and privacy. The Gramm-Leach-Bliley Act (GLBA) focuses on the use of PII within financial institutions. The Sarbanes-Oxley Act (SOX) regulates the financial and accounting practices used by organizations in order to protect shareholders from improper practices and errors.

NEW QUESTION: 3
What is an HP TippingPoint unique selling point?
A. Very high Proof of Concept (PoC)
B. Low Total Cost of Ownership (TCO)
C. Low Mean-time to Failure (MTTF)
D. Very high Return on Investment (ROI)
Answer: D