Series 6 - Investment Company And Variable Contracts Products Representative Exam

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A deferred compensation plan is somewhat risky because if the business fails,

The employee becomes an owner of the firm
A
The employee has to help the firm pay back its debts
B
The employee must declare bankruptcy
C
The employee becomes a general creditor of the firm
D

Explanations

If an employee has a deferred compensation plan through their company and the company fails, the employee becomes a general creditor of the firm.

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