Series 7 - General Securities Representative Exam
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A broker dealer acting as a market maker gives a firm quote to another broker dealer for a security. The member of the firm that received the quote gives an order to make the purchase and the other side no longer wants to deal. What is this called?
Backing Away
A
Churning
B
Interpositioning
C
Pegging
D
Explanations
This is called backing away and is a violation. Firm quotes must be honored