Broker dealer - Study guides, Class notes & Summaries

SIE Chapter 1 Questions and Answers Already Passed What entities raise funds by issuing securities? Issuers are organizations that obtain capital by issuing securities. What are the main types of securities that issuers can release? Equity and debt instruments What does equity represent? Equity signifies ownership in a corporation, typically in the form of stocks. How is debt utilized by issuers? Debt involves the issuance of notes and bonds, which are promises to repay bo...

All of the following are included in the definition of person under the Uniform Securities Act EXCEPT a deceased individual an unincorporated association a political subdivision the custodian for a minor a deceased individual A minor, but not the custodian, a deceased individual, and an individual whom the court has deemed incompetent are not persons under the USA. Natural persons and legal entities are persons under the USA. 1.1 The term "person", as defined in the Uniform ...

STC SIE Exam Final Practice Questions with 100% Correct Answers Which of the following statements is TRUE concerning periodic payment variable annuities? A. A client's number of annuity units never changes B. A client's number of accumulation units never changes C. Annuity contracts never have a beneficiary D. The monthly payout is fixed by the inflation index - Correct Answer ️️ -A. A client's number of annuity units never changes Which of the following securities would be subje...

Brokers Dealer A and Broker Dealer B are co-bookrunners on a debt offering for XYZ Co, Inc. BD A has a 30% allocation, BD B has a 20% allocation, and other underwriters share the remainder. During price talk between the co-bookrunners and XYZ, the deal is expected to raise between $400 million and $900 million of debt at a rate of UST +80. The deal ends up being priced at $700 million. XYZ is disappointed that the final pricing was below the top end of the range. Who is responsible for the $...

According to MSRB rules, to be considered to be "regular way" settlement correct answers Settlement date is trade date plus three business days. Regular way settlement for municipal bond transactions is Trade date plus 3 business days (T+3). Muni Firm has a control relationship with an issuer for which it is distributing a new issue. RR wants to sell some of the securities to a discretionary client but the client cannot be reached. What can the RR do with regard to executing the transaction...

A market maker is quoting a stock as follows: Bid 23.50, Offer 23.70. This means that the market maker will: -Sell shares at a price higher than 23.70 and buy shares at a price lower than 23.70 - Buy and sell shares at a price between 23.50 and 23.70 - Buy shares at 23.50 and sell shares at 23.70 -Buy shares at 23.70 and sell shares at 23.50 - ANSWERBuy shares at 23.50 and sell shares at 23.70 A broker dealer is clearing its trades through another broker-dealer but is not disclosing sp...

Which of the following statements are TRUE concerning certain federal covered securities? The Administrator may require the issuer to pay a filing fee The Administrator may bring enforcement action if fraud is involved The Administrator may require the issuer to file a consent to service of process The Administrator will grant the registration after a final review of the filing ☑: I, II, and III only The National Securities Markets Improvement Act (NSMIA) places limits on states' pow...

STC SIE Chapter 1 Questions and Answers Already Passed True or False: The price at which a broker-dealer will purchase shares from a customer is called the ask price. False. The price at which a broker-dealer will purchase shares is called the bid price, while the ask price is the price at which they will sell shares. What does OTC stand for in financial markets? Over-the-counter What is the term for the price at which a dealer agrees to sell securities? The offer or ask price Wh...

If an agent of a broker-dealer registers in State F in early November, when will their registration expire and need to be renewed? correct answers December 31st of that same year. State registration for all securities professionals expires on December 31st following the date of registration. Who is responsible for administering the Investment Advisers Act of 1940? correct answers The SEC is responsible for administering the IAA of 1940. Since the IAA of 1940 is federal law, it doesn't come u...

403(b) plans are available to the following groups of people: I. Government employees II. Employees of public educational institutions III. Employees of nonprofit organizations IV. Self-employed individuals A. II and III B. I and II C. I and IV D. III and IV - ️️A. II and III A broker-dealer can offer a discounted price for mutual funds in which case? Choose the best answer. A. If the shares have been available to the public for more than 90 days B. If the customer meets the b...