To recover for an alleged violation of SEC Rule 10b-5,a plaintiff is required to prove reliance on a misstatement or omission relative to the purchase of the security.

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This is true. Reliance is a required element for a plaintiff to establish a violation of SEC Rule 10b-5. The plaintiff must show that they made the investment decision based on the misstatement or omission.

To Recover for an Alleged Violation of SEC Rule 10b-5,a