New Release SIE Exam Questions- FINRA SIE Dumps
New Release SIE Exam Questions- FINRA SIE Dumps
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Tags: Reliable SIE Exam Pattern, SIE Valid Braindumps Free, Pdf SIE Version, Latest SIE Learning Materials, New SIE Test Practice
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SIE Valid Braindumps Free & Pdf SIE Version
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FINRA Securities Industry Essentials Exam (SIE) Sample Questions (Q149-Q154):
NEW QUESTION # 149
A currency devaluation impacts a country's economic activity in which of the following ways?
- A. Decreases inflation
- B. Makes exports cost less in merchandise trade countries
- C. Decreases gross domestic product (GDP)
- D. Increases imports from merchandise trade countries
Answer: B
Explanation:
Currency devaluation reduces the value of a country's currency relative to others, making its exports cheaper and more competitive internationally. This stimulates demand for the country's goods and services.
* D is correctbecause devaluation reduces export costs, encouraging foreign buyers.
* Ais incorrect because devaluation can increase inflation by raising the cost of imported goods.
* Bis incorrect because GDP often rises due to increased export demand.
* Cis incorrect because imports become more expensive after devaluation, reducing demand.
NEW QUESTION # 150
Which of the following statements is true of the writer of a listed equity call option?
- A. They have the right to sell stock at a fixed strike price.
- B. They have the obligation to sell stock at a fixed strike price.
- C. They have the obligation to buy stock at a fixed strike price.
- D. They have the right to buy stock at a fixed strike price.
Answer: B
Explanation:
Step by Step Explanation:
* Call Option Writer: When writing (selling) a call option, the writer has the obligation to sell the underlying stock at the strike price if the buyer exercises the option.
* Incorrect Options:
* A & B: Only the option buyer has rights, not the writer.
* D: Obligations to buy stock apply to put option writers, not call option writers.
References:
* Options Clearing Corporation (OCC) Options Education: OCC Options Education.
NEW QUESTION # 151
At a prospecting event, a registered representative (RR) provides cards for attendees to write down their contact information if they want to have a follow-up meeting with her. Which of the following actions should the RR take in this situation to comply with telemarketing rules?
- A. Contact the prospects at will since they provided express written consent
- B. Obtain the broker-dealer's approval before making a call
- C. Limit contact with prospects to between 9 a.m. and 9 p.m.
- D. Prior to contacting the prospects, check all of the names on the cards to make sure they are not on the National Do Not Call Registry
Answer: D
Explanation:
Step by Step Explanation:
* Telemarketing Rules (FINRA Rule 3230): Require firms to check the National Do Not Call Registry before contacting individuals, even if those individuals provide their contact information voluntarily.
* Incorrect Options:
* A: Approval isn't required for individual follow-ups; compliance with the registry is.
* B: While calls must be limited to appropriate hours, the registry check is still mandatory.
* C: Written consent does not override the registry requirement.
References:
* FINRA Rule 3230 (Telemarketing): FINRA Rule 3230.
NEW QUESTION # 152
Which of the following responses best describes the primary strategy that an investor uses when selling a covered call?
- A. Hedging
- B. Profit guarantee
- C. Income generation
- D. Speculation
Answer: C
Explanation:
A covered call involves selling a call option on a stock the investor already owns. The strategy generates income in the form of the premium collected for selling the call, providing additional returns on the stock position.
* D is correctbecause the primary goal of a covered call is to generate income.
* Ais incorrect because covered calls do not hedge against large declines in the stock price.
* Bis incorrect because speculation involves taking higher risks, not a covered call's conservative strategy.
* Cis incorrect because no strategy guarantees a profit.
NEW QUESTION # 153
Which of the following account registration types is subject to probate upon the death of the account owner?
- A. Joint tenants with right of survivorship (JTWROS)
- B. Transfer-on-death (TOD)
- C. Individual
- D. Irrevocable trust
Answer: C
Explanation:
Accounts held individually are subject to probate, which is the legal process of administering the decedent's estate. Probate determines the distribution of assets according to the deceased's will or state intestacy laws.
* A is correctbecause individual accounts require probate to transfer assets.
* Bis incorrect because irrevocable trusts bypass probate.
* Cis incorrect because TOD accounts allow direct transfer of assets to named beneficiarieswithout probate.
* Dis incorrect because JTWROS accounts transfer ownership to the surviving account holder automatically.
NEW QUESTION # 154
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