The Model Code recommends that when banks accept a stop-loss order:
A) Management must ensure ongoing lines of communicat
B) Management must report to the central bank.
C) Management allows only experienced dealers to take
D) Bank staff must secure the approval of the counter

Question

Quizplus · Accepted Answer

The Model Code recommends that when banks accept a stop-loss order, management must ensure ongoing lines of communication with the counterparty to ensure that the order is properly executed and any issues are resolved in a timely manner. The other options, such as reporting to the central bank, limiting only experienced dealers, or requiring approval from the counterparty, are not mentioned in relation to accepting stop-loss orders in the Model Code.

The Model Code Recommends That When Banks Accept a Stop-Loss