Free FINRA SIE Exam Questions

Become FINRA Certified with updated SIE exam questions and correct answers

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Total 166 Questions | Updated On: Dec 16, 2025

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Question 1

Company ABC stock currently trades on an exchange. An ABC insider wants to sell a large number of shares of her privately held ABC stock. ABC files the necessary paperwork to register the shares, but the insider decides to wait and sell the stock at a later date. Which of the following terms best describes the type of offering that is occurring in this situation?

A : A rights offering

B : A private offering

C : An exempt offering

D : A secondary offering

Answer: D

Question 2

A registered representative (RR) at a member firm is the subject of a statutory disqualification. Which of the following statements is true?

A : The RR is prohibited from soliciting business but is permitted to accept unsolicited orders.

B : The RR is prohibited from any association or employment with a member firm unless he obtains a waiver.

C : The RR is prohibited from employment by a member firm in any registered capacity but is permitted to be employed in an unregistered capacity.

Answer: B

Question 3

On settlement date, a customer is unable to pay for a purchase in his cash account. His position is liquidated. Which of the following statements is true according to Federal Reserve Regulation T?

A : Only closing transactions are permitted.

B : The customer is barred from trading for 30 days.

C : The customer's account is frozen for 90 days.

D : All related accounts are frozen for 90 days.

Answer: C

Question 4

The civil penalty for an individual who is convicted of an insider trading violation is permitted to be an amount up to how many times the profit gained or loss avoided?

A : 1 time

B : 3 times

C : 6 times

D : 10 times

Answer: B

Question 5

Assuming yields are held constant, which of the following statements describes what will occur as a discount bond reaches maturity?

A : Its price increases.

B : Its price decreases.

C : Its par value increases.

D : Its par value decreases.

Answer: A

Page: 1 / 34

Total 166 Questions | Updated On: Dec 16, 2025

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