Free SIE Exam Braindumps – New 2025 FINRA Pratice Exam [Q64-Q85]

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Free SIE Exam Braindumps – New 2025 FINRA Pratice Exam

Practice Test for SIE Certification Real 2025 Mock Exam

QUESTION 64
Which of the following is considered nonpublic information?

Customer’s name

Customer’s address

Customer’s net worth

Customer’s telephone number

QUESTION 65
A customer will be out of the country for the next two months on business and asks his firm to hold his mail until he returns. Which of the following statements is true regarding this request?

The firm is prohibited from holding the customer’s mail under FINRA rules due to the personal information contained.

The firm must receive written instructions from the customer that include the time period for the requested mail hold.

The firm is permitted to hold the mail as long as the registered representative (RR) complies with the customer’s oral instructions.

At the discretion of the RR, the firm is permitted to hold the customer’s mail provided it takes reasonable actions to ensure no tampering occurs with this mail.

QUESTION 66
Which of the following activities is permitted during the cooling-off period of an initial public offering (IPO)?

Distribute final prospectus

Deliver securities to purchasers

Conduct sales to public investors

Market the new security to potential investors

QUESTION 67
A Treasury bill is issued under which of the following terms?

At par

At par plus interest

At a discount

At a stated rate of interest

QUESTION 68
Which of the following statements is true regarding 529 savings plans?

529 contributions are tax deductible in all states.

There are income limitations for contributing to a 529 savings plan.

The account beneficiary has control over the assets in a 529 savings plan.

Assets are transferable to another 529 savings plan tax-free if the new beneficiary is a family member of the current beneficiary.

QUESTION 69
After a customer purchases bonds at a yield of 5.00%, the current yield at market price increases to 5.25%.
Which of the following statements is true regarding the value of the bonds?

The value of the bonds has increased.

The value of the bonds has decreased.

The face value of the bonds has decreased.

There is no change in the value of the bonds.

QUESTION 70
A customer writes a call for XYZ stock with a strike price of $35 and receives a premium of $7. The stock is currently trading at $40. What is the time value of this option?

QUESTION 71
Which of the following statements is true regarding the SEC’s characterization of a registration statement that has just been made effective?

The SEC has approved the security being offered for sale.

The SEC has found the information presented to be true and accurate.

The SEC has determined that no material information has been omitted.

The SEC has not passed judgment on the merits of the security being offered for sale.

QUESTION 72
An investor wants to purchase additional mutual fund shares with income distributed by the fund. Which of the following fund options permits this?

Asset reallocation

Dollar cost averaging

Dividend reinvestment

Capital gains reinvestment

QUESTION 73
A municipal securities dealer makes a political contribution of $990 to a local mayoral candidate. At the end of the quarter, to whom, if anyone, must the dealer report the contribution?

SEC

MSRB

FINRA

No disclosure required as the amount is below the reporting threshold

QUESTION 74
A registered representative (RR) opens a new account for a customer whose investment objectives are growth and income. She makes an initial deposit of $5,500 using a series of money orders drawn from different sources, and she makes no investments for the first 30 days the account is open. At the end of that time, the customer asks to have the funds wired to an account at a different firm as her needs have changed. The RR’s first course of action should be to:

Deny the request.

Freeze the account.

Report internally as a suspicious activity.

Accept the instructions and wire the funds.

QUESTION 75
Which of the following characteristics best describes a benefit of a variable annuity subaccount?

The account is managed by a third-party custodian and is, therefore, subject to lower management fees than those charged by the insurance company.

The account is held at a broker-dealer that is separate from the insurance company, thereby allowing tax-deferred investments in all types of securities products.

The account is held separately from the insurance company’s general account and, therefore, is protected from the claims of general creditors of the insurance company.

The account represents the indebtedness of the insurance company that is subordinated to the claims of general creditors and, therefore, offers investors a higher rate of return.

QUESTION 76
Which of the following responses best characterizes a money market mutual fund?

It pays a fixed rate of return.

Its price is fixed at $1 per share.

Its underlying investments are short term.

Its yield always exceeds a savings account rate.

QUESTION 77
Company XYZ is a U.S.-based provider of domestic utility services. XYZ’s noncallable bonds pay a coupon rate of 5% and are currently yielding 9%. Market interest rates are currently 5.5%. An investor who purchases XYZ bonds is most exposed to which of the following risks?

Credit risk

Political risk

Currency risk

Prepayment risk

QUESTION 78
A customer owns 100 shares of ABC with a current market value of $5.00 per share. The company undergoes a 1-for-2 reverse split of the stock. Which of the following statements is true of the customer’s holdings and the price of the stock?

The customer will have 50 shares at $10.00 per share.

The customer will have 100 shares at $5.00 per share.

The customer will have 200 shares at $2.50 per share.

The customer will have 1,000 shares at $0.50 per share.

QUESTION 79
The provision that allows a bond issuer to purchase bonds from customers prior to the maturity date on the bond is known as a:

Put

Call

Conversion

Defeasement

QUESTION 80
Pursuant to FINRA rules, which of the following content is inappropriate to link to from a business-related social media site?

A link to the firm’s website discussing its products and services

A link to an investment’s website stating the investment’s performance over the next five years

A link to information on a mutual fund that discusses previous performance over the last five years

A link to a company’s filing on EDGAR that contains information on a press release about the company

QUESTION 81
Which of the following statements is true of the writer of a listed equity call option?

They have the right to sell stock at a fixed strike price.

They have the right to buy stock at a fixed strike price.

They have the obligation to sell stock at a fixed strike price.

They have the obligation to buy stock at a fixed strike price.

QUESTION 82
A customer buys 100 ABC at $50 and at the same time sells an ABC April 50 call at $8. At expiration, ABC must be at what market price for the customer to break even?

$42

$44

$50

$58

QUESTION 83
A customer purchases 100 shares of stock. The customer fears a decline in the share price and would like to protect his investment and minimize loss. Which of the following strategies should the customer employ to lock in his profit?

Sell a put

Sell a call

Purchase a put

Purchase a call

QUESTION 84
A city has appointed Broker-dealer XYZ to act as lead underwriter for its upcoming issuance of municipal bonds. This is an example of which of the following types of offering?

A follow-on offering

A negotiated offering

A competitive offering

A best-efforts offering

QUESTION 85
A registered representative must complete which of the following activities when entering a discretionary trade?

Only exercise discretion over market orders

Indicate that discretion was exercised on the order ticket to be identified for supervisory review

Obtain authorization from the customer before each discretionary order is entered

Receive instructions from the customer as to the price at which to buy or sell a security