Bobby has a degree in finance. He studied hard for his Series 7 and Series 66 exams and passed both with great scores. Bobby has never traded stocks, bonds, or options personally and has just recently acquired his first client with a moderate net worth. The client voices an interest in getting a higher rate of return using leverage, and Bobby immediately recommends options on a few different stocks, on which Bobby has done little research. Which of the following is TRUE of this scenario?
[A]With Bobby's degree and the fact that he passed his exams, his background and education make him knowledgeable enough to recommend options as an investment strategy.
[B]Because Bobby has never traded securities, has not researched the stocks on which he has recommended options, and because he may lack an understanding of his own recommendations, Bobby has likely violated FINRA's Suitability Rule.
[C]Because the customer has a moderate net worth and has expressed using leverage, Bobby's recommendation of the options positions would be suitable for the client.
[D]Because Bobby does not have years of experience with these specific securities, there is no way for Bobby to make this recommendation without violating FINRA's Suitability Rule.