Wiley Series 6 Securities Licensing Exam Review 2019 + Test Bank : The Investment Company and Variable Contracts Products Representative Examination /: The Investment Company and Variable Contracts Products Representative Examination. (2019)

• Record Type: Book
• Other Titles: Series 6 exam review study + test bank; Series six exam review study; Wiley series six securities licensing exam review 2019
• Further Information: Note: The Securities Institute of America, Inc.
• Other Names: Securities Institue of America, Inc.
• Contents: ABOUT THE SERIES 6 EXAM xv ABOUT THIS BOOK xix ABOUT THE TEST BANK xxi ABOUT THE SECURITIES INSTITUTE OF AMERICA xxiii CHAPTER 1 EQUITY SECURITIES 1 What Is a Security? 1 Equity = Stock 2 Common Stock 2 Preferred Stock 12 Options 20 Calls 20 Puts 20 Bullish vs. Bearish 21 Characteristics of All Options 21 Exercise Price 22 Buyer vs. Seller 22 Possible Outcomes for an Option 22 Currency Risks 23 Functions of the Custodian Bank Issuing ADRs 23 Real Estate Investment Trusts (REITs) 23 Issuing Corporate Securities 24 Types of Underwriting Commitments 24 Types of Offerings 25 Awarding the Issue 26 The Underwriting Syndicate 26 Selling Group 26 Securities Markets 27 The Exchanges 28 Over the Counter/Nasdaq 28 Market Makers 29 Third Market 29 Fourth Market 29 Broker vs. Dealer 29 Pretest 31 CHAPTER 2 DEBT SECURITIES 35 Corporate Bonds 35 Types of Bond Issuance 36 Bond Certifi cate 37 Bond Pricing 37 Corporate Bond Pricing 38 Bond Yields 38 Bond Maturities 41 Types of Corporate Bonds 42 Converting Bonds into Common Stock 45 Advantages of Issuing Convertible Bonds 46 Disadvantages of Issuing Convertible Bonds 46 Convertible Bonds and Stock Splits 46 The Trust Indenture Act of 1939 47 Bond Indenture 47 Ratings Considerations 47 Retiring Corporate Bonds 48 Collateralized Mortgage Obligation (CMO) 50 CMOs and Interest Rates 51 Types of CMOs 51 Private-Label CMOs 53 Exchange-Traded Notes (ETNs) 53 Pretest 55 CHAPTER 3 GOVERNMENT AND MUNICIPAL SECURITIES 59 Series EE Bonds 59 Series HH Bonds 60 Treasury Bills, Notes, and Bonds 60 Treasury Bond and Note Pricing 61 Treasury STRIPS 62 Treasury Receipts 62 Treasury Inflation-Protected Securities (TIPS) 63 Agency Issues 63 Government National Mortgage Association (GNMA) 63 Federal National Mortgage Association (FNMA) 64 Federal Home Loan Mortgage Corporation (FHLMC) 64 Federal Farm Credit System (FFCS) 64 Municipal Bonds 65 Legal Opinion 66 Municipal Bond Insurance 66 Tax Equivalent Yield 67 Purchasing a Municipal Bond Issued in the State in Which the Investor Resides 67 Triple Tax-Free 68 Capital Gains 68 Pretest 69 CHAPTER 4 THE MONEY MARKET 71 Money Market Instruments 71 Corporate Money Market Instruments 71 Government Money Market Instruments 73 Municipal Money Market Instruments 74 International Money Market Instruments 74 Interest Rates 74 Pretest 77 CHAPTER 5 ECONOMIC FUNDAMENTALS 79 Gross Domestic Product (GDP) 79 Recession 81 Depression 81 Economic Indicators 81 Economic Policy 83 Tools of the Federal Reserve Board 83 Fiscal Policy 86 Consumer Price Index (CPI) 87 Inflation/Deflation 87 Real GDP 87 International Monetary Considerations 88 Pretest 89 CHAPTER 6 MUTUAL FUNDS 93 Investment Company Philosophy 93 Types of Investment Companies 94 Open-End vs. Closed-End Funds 95 Diversified vs. Nondiversified 96 Investment Company Registration 97 Investment Company Components 99 Mutual Fund Distribution 101 Selling Group Member 101 Distribution of No-Load Mutual Fund Shares 102 Distribution of Mutual Fund Shares 102 Mutual Fund Prospectus 102 Characteristics of Open-End Mutual Fund Shares 104 Mutual Fund Investment Objectives 105 Other Types of Funds 106 Bond Funds 107 Valuing Mutual Fund Shares 109 Changes in the NAV 110 Sales Charges 111 12B-1 Fees 113 Calculating a Mutual Fund’s Sales Charge Percentage 113 Finding the Public Offering Price 114 Sales Charge Reductions 114 Breakpoint Schedule 115 Letter of Intent 115 Backdating a Letter of Intent 116 Breakpoint Sales 116 Rights of Accumulation 116 Automatic Reinvestment of Distributions 117 Other Mutual Fund Features 117 Cost Base of Multiple Purchases 121 Purchasing Mutual Fund Shares 122 Sales Charges 125 45-Day Free Look 126 Withdrawal Plans 126 Recommending Mutual Funds 127 Structured Retail Products/SRPs 128 Pretest 129 CHAPTER 7 VARIABLE ANNUITIES AND LIFE INSURANCE 135 Annuities 135 Equity Indexed Annuity 138 Recommending Variable Annuities 139 Annuity Purchase Options 140 Accumulation Units 141 Annuity Units 141 Annuity Payout Options 142 Factors Affecting the Size of the Annuity Payment 143 The Assumed Interest Rate (AIR) 143 Taxation 144 Types of Withdrawals 144 Annuitizing the Contract 145 Expenses and Guarantees 145 Other Charges 146 Life Insurance 147 Premiums and Death Benefits 149 Assumed Interest Rate 150 Variable Policy Features 151 Tax Implications of Life Insurance 151 Pretest 153 CHAPTER 8 RETIREMENT PLANS 157 Individual Plans 157 Individual Retirement Accounts (IRAs) 158 Traditional IRAs 158 Roth IRAs 159 Simplified Employee Pension IRA (SEP IRA) 160 Death of an IRA Owner 162 Educational IRA/Coverdell IRA 162 529 Plans 163 Tax-Sheltered Annuities (TSAs)/Tax-Deferred Accounts (TDAs) 164 Corporate Plans 166 Rolling Over a Pension Plan 169 Employee Retirement Income Security Act of 1974 (ERISA) 169 ERISA 404C Safe Harbor 171 Department of Labor Fiduciary Rules 171 Health Savings Accounts 172 Pretest 173 CHAPTER 9 CUSTOMER ACCOUNTS 177 Holding Securities 179 Mailing Instructions 180 Types of Accounts 181 Commingling Customers’ Pledged Securities 191 Wrap Accounts 191 Regulation S-P 191 ABLE Accounts 192 FINRA Rules on Financial Exploitation of Seniors 194 Pretest 197 CHAPTER 10 CUSTOMER RECOMMENDATIONS, PROFESSIONAL CONDUCT, AND TAXATION 201 Professional Conduct in the Securities Industry 202 Fair Dealings with Customers 202 Periodic Payment Plans 207 Mutual Fund Current Yield 207 Information Obtained from an Issuer 207 Disclosure of Client Information 208 Borrowing and Lending Money 208 Gift Rule 208 Outside Employment 209 Private Securities Transactions 209 Customer Complaints 209 Investor Information 210 NYSE/FINRA Know Your Customer 210 Investment Objectives 211 Risk vs. Reward 213 Alpha 215 Beta 215 Capital Asset Pricing Model (CAPM) 215 Products Made Available through Member Firms 216 Recommendations through Social Media 217 Tax Structure 218 Inve
• Publisher Details: Hoboken, New Jersey : John Wiley and Sons, Inc Wiley
• Publication Date: 2019
• Extent: 1 online resource
• Subjects: 332.632076; Stockbrokers -- United States -- Examinations, questions, etc; Securities -- United States -- Examinations, questions, etc; Securities industry -- United States -- Examinations, questions, etc; Investments -- United States -- Examinations, questions, etc; BUSINESS & ECONOMICS / Finance; Electronic books
• Languages: English
• ISBNs: 9781119552741; 1119552745
• Related ISBNs: 9781119552710
• Notes: Note: Online resource; title from PDF file page (EBSCO, viewed December 27, 2018).
• Access Rights: Legal Deposit; Only available on premises controlled by the deposit library and to one user at any one time; The Legal Deposit Libraries (Non-Print Works) Regulations (UK).
• Access Usage: Restricted: Printing from this resource is governed by The Legal Deposit Libraries (Non-Print Works) Regulations (UK) and UK copyright law currently in force.