FINRA Series 7

Category - Series 7

The gross spread in a new issue depends upon which of the following?
  1. the amount of the issue
  2. the type of industry in which the issuer is engaged
  3. the past record of the issuing corporation
  4. all of the above
Explanation
Answer: D - all of the above. The gross spread (or “underwriting spread”) depends upon all of these factors.
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