Which statement best reflects MSRB expectations for advertising claims about yields?

• A. Yield claims may be presented without context
• B. Yield claims must be accompanied by a risk-free alternative
• C. Yield claims must be representative, with limitations disclosed
• D. Yield claims must be accurate, clearly disclosed, and supported by data and testing

Answer: (D)

Advertising yields must be accurate, clearly disclosed, and supported by data and testing. Yields can be misunderstood if shown without proper context or without a documented basis, so the MSRB requires that any yield claim be grounded in real data and validated through testing, with disclosures that explain the methodology, time period, and assumptions used. This helps investors compare like-for-like and understand exactly what the yield represents, reducing the risk of being misled by selective or hypothetical figures. While it’s common to include limitations, the emphasis is on a factual, verifiable basis for the claim and clear disclosure of how the yield is measured. Claims presented without context are likely misleading, and asking for a risk-free alternative isn’t a stated requirement.