Extended trading hours and off-premises dealing can involve additional hazards, the avoidance of which requires clear controls. The Model Code prescribes best market practice. Which of thefollowing is true?
A) Off-premises dealing should be strictly prohibited.
B) After-hours trading should be prohibited.
C) Deals transacted after normal business hours or off-premises should only be undertaken on mobile phones approved by management.
D) Deals transacted after normal business hours or off-premises either by mobile phones or any other equipment should only be undertaken with the approval of management.

Question

Quizplus · Accepted Answer

The Model Code prescribes that deals transacted after normal business hours or off-premises either by mobile phones or any other equipment should only be undertaken with the approval of management. It is not necessary to strictly prohibit off-premises dealing or after-hours trading, but their risks should be managed through clear controls and approval processes. The code also does not prescribe the use of specific mobile phones, but management should approve any mobile phones or equipment used for such deals.

Extended Trading Hours and Off-Premises Dealing Can Involve Additional Hazards