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Employee Conduct and Conflicts of Interest

Review outside activities, personal trading controls, gifts rules, and political-contribution restrictions tested on the Series 7.

This chapter focuses on conduct controls that apply inside the firm, not just in customer-facing recommendations. The Series 7 expects you to recognize how outside activities, employee trading, gifts, and political contributions can create conflicts that need disclosure, supervision, or outright prohibition.

The exam angle is practical: know what must be disclosed, what must be approved, what must be restricted, and which conduct puts the firm or representative in violation.

In this section

Revised on Thursday, April 23, 2026