SIE Exam Unit 1 Questions and Verified Answers, 100% Guarantee Pass (Latest 2025) The securities industry's primary regulatory body and created under what act? - Correct Answers ✅SEC, Securities Exchange Act of 1934 Function under the SEC's oversight and is accountable to the Commission for enforcing federal securities laws, as well as supervising securities practices within an assigned jurisdiction. - Correct Answers ✅Self Regulatory organizations (SRO) what are the largest SROs - Correct Answers ✅Financial Industry Regulation Authority (FINRA), Chicago Board Options Exchange (CBOE), Municipal Securities Rulemaking Board
(MSRB)
Members pay assessments into a general insurance fund that is used to meet customer claims in the event of a broker- dealer bankruptcy. - Correct Answers ✅Securities Investor Protection Act and Corporation (SIPC) All BD registered with the SEC must be SIPC members except which three? - Correct Answers ✅1. banks deal with munis,
- firms deal with US govt securities 3.firms deal with
redeemable investment co securities 1 / 3
SIE Exam Unit 1 Questions and Verified Answers, 100% Guarantee Pass (Latest 2025) has a net worth of $1 million or more or has had an annual income of $200k or more in each of the two most recent years - Correct Answers ✅accredited investor this type of BD offers all types of investment products ie stocks, bonds, mutual funds, options, and many others - Correct Answers ✅full service BD this BD incorporates proprietary trading, where they trade in the account of the BD this is known as what - Correct Answers ✅market making this firm carries customer accounts and accepts funds and securites from customers - Correct Answers ✅carrying firm this type of BD has the ability to do trade executions, clear and settle transactions, take custody of customer funds and securities, and handle all back office tasks - Correct Answers ✅carrying firm carrying firms are required to maintain a higher _____ than that of firms who do not accept custody of funds or securities
- Correct Answers ✅net capital 2 / 3
SIE Exam Unit 1 Questions and Verified Answers, 100% Guarantee Pass (Latest 2025) this type of BD must segregate customer funds and securities held in their custody from the firms capital and securities - Correct Answers ✅Carrying firms this type of BD introduces its customers to a clearing firm - Correct Answers ✅fully disclosed or introducing BD an introducing firm may receive customer checks but they must be made out to who - Correct Answers ✅the clearing firm carrying or clearing firms who clear their own transactions - Correct Answers ✅full service BD investment advisor act of what year - Correct Answers
✅1940
Any entity, individual or institution, willing to accept the risk of holding a particular security in its own account to facilitate trading and provide liquidity in that security is known as - Correct Answers ✅a market maker or trader An institution or a person responsible for making all investment, management, and dis-tribution decisions in an
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