Free Version

Review Topics
Practice Exams
Cows are like buffalo...EXCEPT they're NOT as huge, athletic, and ridiculously good-looking. Confused? Pay attention to key words if you want the real deal.

Misappropriation of Client Funds

Dashboard > Violations > Misappropriation of Client Funds

Misappropriation of Client Funds

Commingling of client funds is often a first step that eventually leads to misappropriation of client funds (it’s a gateway drug, err, violation). In order to misappropriate funds, one needs to have them in their possession first (wait, that does sound like drugs), which is how commingling funds figure into this.

Misappropriation is the misappropriation of client funds, or when a member firm uses client funds in an inappropriate or unauthorized way. Under FINRA Rule 3070, member firms m...

Looking for more? Why is this annoying box in the way? It's because you haven't paid for the course yet!

Next: The “I Promise to Give It Back as Soon as I'm Done with It” Schtick
Prev: SSPN: ShmoopCenter Recap #5

*Securities is a registered trademark of the College Board, which was not involved in the production of, and does not endorse this product.