Churning is the practice of encouraging investors to make multiple unnecessary trades in order to create extra income for the broker. Because it benefits a few at the expense of the many, churning violates the utility principle.

Name: Churning is the practice of encouraging investors to make multiple unnecessary trades in order to create extra income for the broker. Because it benefits a few at the expense of the many, churning violates the utility principle.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The Answer is True

Churning Is the Practice of Encouraging Investors to Make Multiple