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3I0-012 · Question #401

Under what conditions can an FX broker act as a position taker?

The correct answer is D. brokers act only as intermediaries or arrangers of deals. See the full explanation below for the reasoning.

Question

Under what conditions can an FX broker act as a position taker?

Options

  • Aif a principal refuses to honour the deal
  • Bno conditions are required; the broker is entitled to take positions
  • Conly if he can not find another counterparty for a name switching
  • Dbrokers act only as intermediaries or arrangers of deals

How the community answered

(41 responses)
  • A
    15% (6)
  • B
    7% (3)
  • C
    2% (1)
  • D
    76% (31)

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Full 3I0-012 Practice