Which of the following may an investment adviser not use in an attempt to solicit new clients?

Question

Quizplus · Accepted Answer

Investment advisers may not use testimonials of satisfied clients to solicit new clients. They may provide past stock picks, as long as they provide a complete list, that compilation period for the list is at least a year, and as long as they are careful to note that past performance is no guarantee of future performance. They can also offer freebies, such as a free initial consultation or a free financial planning kit, as long as these are indeed offered "free," with no obligation on the part of the client.

Which of the Following May an Investment Adviser Not Use