Question 1 of 5 Share Facebook Twitter LinkedIn WhatsApp Email Copy Link Which of the following factors should be considered when deciding between the appropriateness of a fee-based or commission-based account for an investor? A. Risk tolerance B. Liquid net worth C. The investor's income needs D. The investor's fee structure preferences Submit Answer
Question 2 of 5 Share Facebook Twitter LinkedIn WhatsApp Email Copy Link A chemist at a government agency posts nonpublic information about a new drug on a restricted social networking site that is viewed by a small number of his networked contacts. One of those contacts is a trader who purchases stock in the drug company and profits substantially when the drug is approved. No one else acted on the information in any way. Which of the following persons are in violation of insider trading rules? A. The trader only B. The chemist only C. The chemist and the trader only D. The chemist and everyone receiving the information Submit Answer
Question 3 of 5 Share Facebook Twitter LinkedIn WhatsApp Email Copy Link A broker-dealer recently hired a registered representative (RR) who is new to the industry. The RR was asked to set up her profile on the firm’s social media site. Which of the following statements in the RR’s profile violates FINRA’s communications rule? A. “I offer a personalized, hands-on approach to help you plan for your financial future.†B. “I will work with you in person, by phone or by video conferencing, whatever works best for you.†C. “My industry experience and knowledge will give you assurance that your financial goals will be met.†D. “My primary focus is to build rapport and trust with my customers to better serve their investment needs.†Submit Answer
Question 4 of 5 Share Facebook Twitter LinkedIn WhatsApp Email Copy Link Which of the following statements is true regarding an individual who has passed the Securities Industry Essentials (SIE) Exam? A. She is permitted to solicit securities business. B. She is permitted to file her Form U4 directly with FINRA. C. She has fulfilled her registration requirement with FINRA. D. She must pass an additional qualification exam prior to engaging in securities business. Submit Answer
Question 5 of 5 Share Facebook Twitter LinkedIn WhatsApp Email Copy Link A preferred stock that could pay a greater dividend in one year than the stated dividend is called: A. callable. B. cumulative. C. convertible. D. guaranteed. E. participating. Submit Answer