Human Resources & Talent Development Flashcards

Under the Commodity Exchange Act, a felony conviction within what period can be grounds for refusing registration?

Answer: Within the past 10 years

A felony conviction within the preceding ten years is a statutory ground for refusing registration.

A firm proposes paying transaction-based compensation to an unregistered person for soliciting customers. How is this generally treated?

Answer: Generally prohibited

Paying commissions to unregistered individuals for solicitation is generally prohibited because solicitors must be registered.

Under the CFTC whistleblower program, what range of monetary sanctions can an eligible whistleblower receive when the sanctions exceed $1 million?

Answer: 10% to 30%

Eligible whistleblowers may receive 10% to 30% of sanctions collected above $1 million.

An employee reports suspected misconduct to the CFTC and is then demoted by the firm. Which principle does this likely violate?

Answer: Anti-retaliation protections for whistleblowers

The Commodity Exchange Act prohibits employers from retaliating against whistleblowers.

Which practice best manages conflicts of interest when a firm employee trades a personal futures account at another FCM?

Answer: Require the firm to receive duplicate statements and confirmations

Firms commonly require duplicate statements so compliance can monitor employee trading for conflicts.

Title VII of the Civil Rights Act generally applies to employers with at least how many employees?

Answer: 15

Title VII covers private employers with 15 or more employees.

Which of these is the best example of a pre-employment screening step that supports a firm's supervisory obligations?

Answer: Checking disciplinary and regulatory history

Reviewing a candidate's regulatory and disciplinary record is lawful and supports sound hiring and supervision.