Canadian Securities Course (CSC) Practice Exam

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Study for the Canadian Securities Course Exam with our comprehensive practice test. Explore flashcards and multiple-choice questions, each with detailed hints and explanations. Prepare for your CSC exam with confidence!

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In the context of securities, what problem does the escrowing of shares aim to prevent?

Market manipulation
Insider trading
Value fluctuations
Dividend withholding

The correct answer is: Value fluctuations

Escrowing of shares aims to prevent value fluctuations in securities. Market manipulation, insider trading, and dividend withholding are all related to illegal or unethical practices in the securities market. These issues are not directly addressed by the escrowing of shares, which instead focuses on stabilizing and protecting the value of securities. Therefore, they are incorrect options.