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Which of the Following Is False

Question 21

Multiple Choice

Which of the following is false?


A) The best endorsement of the quality and price of a new securities offering is if the Securities and Exchange Commission (SEC) approves the new offering.
B) Investment banks design, market, and underwrite the issuance of new securities in the primary market.
C) Investment banks handle private placements that bypass the underwriting process and that are marketed to a limited number of qualified investors.
D) The Securities and Exchange Commission (SEC) was created in 1934 to regulate the securities industry.

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