7 Memorization

Treasury Notes, bonds, Bills settle?

T+1

How long do you have to get additional info to FINRA once asked for it?

60 days

Investment co, DPP, and CMO retail communication is must be filed...

within 10 business days of first use

bond mutual funds w/ ratings, iCompanies with ratings, or futures must be filed....

within 10 business days PRIOR to first use

immediate or cancel is the only one type of order that can be

partial

ledgers are per

account

taping Rule

fewer than 20%- within 30 days of notice

Debentures

unsecured, 2-5 yrs,bonds

Banker's Acceptance, repurchase agreements, commercial papers

all ST./money market

WHEN dealing with spreads, narrow is??

GOOODDD

nominal yields are firm or just an estimate

estimate

when U5 is requested you have....

2 business days

NASDAQ and OTC markets are on

OATS

Theft complaints must be disclosed within

30 DAYS

In response to a formal complaint under the code of procedure, a defendant associate has to respond within

25 DAYS

IRS Code 72t

Avoid 10% penalty by taking small withdrawals over 5 or more years

Efficient Market Hypothesis (EMH)

argument that stocks are always priced about right, and that bargains are hard to find because they are closely watched by so many investors

Strong form EMH

ALL INFO is reflected in pricing

semi-strong form efficiency

Market prices reflect all publicly available information NOT PRIVATE

weak form efficiency

prices reflect all past market information such as price and volume NOT predictable by analyzing current financials

The registrar is responsible for

Overseeing/auditing the transfer agent

Which act dealt with registration?

1933

When a customer complaint is made against a registered employee, the employee and the firm must:

Update the employee's Form U4 no later than 30 days after receiving the complaint

When a member firm terminates one of its registered employees, how long does it have to file a Form U5 with FINRA?

Within 30 days of termination

Member firms may pay compensation, fees or commissions to non-registered broker-dealers if the non-registered member deals only in:

Government securities

Eurobond

issued in a currency other than the currency of the country or market of issue

Eurodollar bond

a dollar-denominated bond issued by a foreign company and held in a bank in a country besides the US and the issuer's home country

Yankee bond

A bond denominated in U.S. dollars and issued in the United States by foreign banks and corporations is a

Which type of comminications do not need to be filed with FINRA

Institutional

statute of limitations for inside trading

5 years

The Securities Exchange Act of 1934 primarily regulates:

SEC, trading "The second of the Securities Acts covers securities trading in secondary markets.

quick ratio

(Current Assets - Inventory) / Current Liabilities

Diagonal Spread

An option spread position in which both the expiration dates and strike prices of the options are different

What is the deadline for filing the Form D for a Regulation D offering?

15 calendar days after the first sale

According to Rule 204, when must a close-out occur if there is a fail to deliver on a short sale of an equity security?

T + 3

Retail communications are defined as any written or electronic communication that will be made available to:

More than 25 retail investors within 30 calendar days

If an issuer of securities intentionally discloses material, nonpublic information to a broker-dealer, it must publicly disclose the same information:

Simultaneously to the public

Trust Indenture Act of 1939

associated with the issuance of corporate debt

Smith & Smith is in the process of registering as a broker-dealer. The firm has just submitted its registration documentation to the SEC. How long does the SEC have to respond by granting the registration or instituting proceedings to determine if the reg

45 days

Richard is a registered representative who wants to spend as much time as possible working from his summer home in Maui. How long can Richard work at his vacation home without it being considered a branch office?

Less than 30 days

A broker-dealer executes a sell order for a customer. Ten business days after the settlement date, the customer has not made delivery of the securities to the broker-dealer. What actions must the broker-dealer take?

buy-in the customer's short position

A respondent in a FINRA disciplinary hearing appeals the Hearing Panel's decision within 25 days after it is made. A subcommittee of the National Adjudicatory Council then hears the appeal and makes a recommendation to the NAC. It recommends that the deci

The Board of Governors is automatically given an opportunity to review the NAC's decision

How long after the closing of a customer's account must a broker-dealer preserve records which relate to the terms and conditions with respect to the opening and maintenance of the account?

six years

If a firm discovers information about a former associated person that belongs on the associated person's Form U5, which of the following is true?

The form needs to be amended within 30 days of discovery

The type of bonds that are backed by the full faith and credit of the federal government are considered:

US government bonds

The two steps of the account transfer process are:

Validation and execution

What are the two main types of risk:

diversifiable and nondiversifiable

How long after the closing of a customer's account must a broker-dealer preserve records which relate to the terms and conditions with respect to the opening and maintenance of the account?

six years

If a firm discovers information about a former associated person that belongs on the associated person's Form U5

The form needs to be amended within 30 days of discovery

Auction rate securities (ARS), variable rate demand obligations (VRDOs) and limited tax general obligation (LTGO) bonds are all

issued by a municipality