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Options
- A
Informing the investor of the various investment options
- B
Carefully understanding the client's financial needs
-
Encouraging the churning of investments
Correct answer
- D
Giving personalized after-sales service
Why this is the answer
Churning refers to the practice of frequently buying and selling investments to generate commissions. Encouraging this behavior is considered an unethical selling practice as it can negatively impact the investor’s returns.
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