Marta has an extensive securities portfolio and has been working with

QUESTION

Marta has an extensive securities portfolio and has been working with the same full-service broker for over ten years. Based on this relationship, what type of security orders would Marta place?

A) discretionary order
B) secured order
C) limit order
D) market order
E) indexed order

ANSWER

Answer: A
Explanation: A) Given Marta’s extensive holdings and long-term relationship with a full-service professional broker, she would trust her broker’s experience and understanding of her financial goals to give him discretion over buying and selling securities for her.