Which statement regarding designated market makers (DMMs) is False? DMMs:
A) are expected to maintain a fair and orderly market in their assigned stocks.
B) perform a dual role as brokers and dealers.
C) must be approved by the Federal Reserve Board.
D) must often go "against the market."

Question

Quizplus · Accepted Answer

DMMs are not approved by the Federal Reserve Board; they are regulated by the stock exchange where they operate, such as the NYSE.

Which Statement Regarding Designated Market Makers (DMMs) Is False? DMMs