An agreement for the distribution of an issue of securities in which the investment bank handling the transaction gives no assurance that the entire issue will be sold is called a(n) _____.

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A best-efforts arrangement is a type of underwriting agreement where the investment bank facilitating the transaction agrees to use its best efforts to sell as many securities as possible, but offers no guarantee that the entire issue will be sold. This is in contrast to a guaranteed issue arrangement, where the investment bank guarantees the sale of the entire issue. Private placements and shelf registrations are different types of securities offerings that do not involve underwriting agreements.

An Agreement for the Distribution of an Issue of Securities