Wiley series 57 securities licensing exam review 2019 + test bank. Securities trader examination / ([2019])

• Record Type: Book
• Other Titles: Securities trader examination
• Further Information: Note: The Securities Institute of America, Inc.
• Other Names: Securities Institute of America.
• Contents: ABOUT THE SERIES 57 EXAM xxi ABOUT THIS BOOK xxv ABOUT THE TEST BANK xxvii ABOUT THE SECURITIES INSTITUTE OF AMERICA xxix CHAPTER 1 EQUITY SECURITIES 1 What Is a Security? 1 Equity = Stock 2 Common Stock 2 Corporate Time Line 2 Values of Common Stock 4 Book Value 4 Par Value 5 Rights of Common Stockholders 5 Preemptive Rights 5 Characteristics of a Rights Offering 6 Determining the Value of a Right Cum Rights 7 Determining the Value of a Right Ex Rights 7 Voting 8 Limited Liability 9 Freely Transferable 9 The Transfer Agent 10 The Registrar 10 CUSIP Numbers 11 Inspection of Books and Records 11 Residual Claim to Assets 11 Why Do People Buy Common Stock? 11 Income 11 What Are the Risks of Owning Common Stock? 12 How Does Someone Become a Stockholder? 13 Preferred Stock 14 Features of All Preferred Stock 14 Types of Preferred Stock 16 Callable Preferred 17 Types of Dividends 17 Dividend Distribution 18 Taxation of Dividends 20 Selling Dividends 20 Dividend Disbursement Process 21 Warrants 21 How Do People Get Warrants? 21 American Depositary Receipts (ADRs)/American Depositary Shares (ADSs) 22 Currency Risks 23 Functions of the Custodian Bank Issuing ADRs 23 Real Estate Investment Trusts/REITs 23 Non-Traded REITs 24 Direct Participation Programs and Limited Partnerships 24 Limited Partnerships 24 Tax Reporting for Direct Participation Programs 28 Limited Partnership Analysis 28 Tax Deductions vs. Tax Credits 29 Other Tax Considerations 29 Dissolving a Partnership 30 Pretest 31 CHAPTER 2 DEBT SECURITIES 35 Corporate Bonds 35 Types of Bond Issuance 36 Bond Certificate 37 Bond Pricing 37 Corporate Bond Pricing 38 Bond Yields 38 Yield Spreads 42 The Real Interest Rate 43 Bond Maturities 43 Types of Corporate Bonds 44 Converting Bonds into Common Stock 47 Advantages of Issuing Convertible Bonds 48 Disadvantages of Issuing Convertible Bonds 48 Convertible Bonds and Stock Splits 48 Reverse Convertible Securities 48 Forced Conversion 49 The Trust Indenture Act of 1939 49 Bond Indenture 49 Ratings Considerations 50 Retiring Corporate Bonds 50 Collateralized Mortgage Obligation (CMO) 52 CMOs and Interest Rates 53 Types of CMOs 53 Private-Label CMOs 55 Exchange-Traded Notes (ETNs) 55 Euro and Yankee Bonds 56 Pretest 57 CHAPTER 3 GOVERNMENT SECURITIES 61 Series EE Bonds 61 Series HH Bonds 62 Treasury Bills, Notes, and Bonds 62 Treasury Bond and Note Pricing 63 Treasury Strips 64 Treasury Receipts 64 Treasury Inflation-Protected Securities (TIPS) 65 Agency Issues 65 Government National Mortgage Association (GNMA) 65 Federal National Mortgage Association (FNMA) 66 Federal Home Loan Mortgage Corporation (FHLMC) 66 Federal Farm Credit System (FFCS) 66 Sallie Mae 67 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 Schools of Economic Thought 83 Economic Policy 84 Tools of The Federal Reserve Board 84 Fiscal Policy 87 Consumer Price Index (CPI) 88 Inflation/Deflation 88 Real GDP 88 International Monetary Considerations 89 Yield Curve Analysis 89 Pretest 91 CHAPTER 6 CUSTOMER ACCOUNTS 95 Holding Securities 97 Mailing Instructions 98 Types of Accounts 99 Commingling Customer’s Pledged Securities 109 Wrap Accounts 110 Regulation S-P 110 Day Trading Accounts 111 Pretest 113 CHAPTER 7 VARIABLE ANNUITIES AND RETIREMENT PLANS 117 Annuities 117 Bonus Annuity 119 Equity-Indexed Annuity 120 Recommending Variable Annuities 121 Annuity Purchase Options 122 Accumulation Units 123 Annuity Units 123 Annuity Payout Options 124 Factors Affecting the Size of the Annuity Payment 125 The Assumed Interest Rate (AIR) 125 Taxation 126 Types of Withdrawals 126 Annuitizing the Contract 127 Sales Charges 127 Investment Management Fees 127 Variable Annuity vs. Mutual Fund 127 Retirement Plans 128 Individual Plans 128 Individual Retirement Accounts (IRAs) 128 Corporate Plans 137 Types of Plans 138 Rolling Over a Pension Plan 140 Employee Stock Options 140 Employee Retirement Income Security Act of 1974 (ERISA) 141 ERISA 404C Safe Harbor 142 The Department of Labor Fiduciary Rules 143 Life Insurance 143 Tax Implications of Life Insurance 146 Health Savings Accounts 146 Pretest 149 CHAPTER 8 MARGIN ACCOUNTS 153 Regulation of Credit 153 Regulation T 153 House Rules 156 Establishing a Long Position in a Margin Account 156 An Increase in the Long Market Value 157 Special Memorandum Account (SMA) Long Margin Account 159 A Decrease in the Long Market Value 161 Minimum Equity Requirement Long Margin Accounts 161 Establishing a Short Position in a Margin Account 162 A Decrease in the Short Market Value 163 Special Memorandum Account (SMA) Short Margin Account 164 An Increase in the Short Market Value 165 Minimum Equity Requirement Short Margin Accounts 166 Combined Margin Accounts 167 Portfolio Margin Accounts 167 Securities Backed Lines of Credit 168 Minimum Margin for Leveraged ETFs 168 Pretest 169 CHAPTER 9 MUTUAL FUNDS 173 Investment Company Philosophy 173 Types of Investment Companies 174 Open-End vs. Closed-End Funds 175 Diversified vs. NonDiversified 176 Investment Company Registration 177 Investment Company Components 179 Mutual Fund Distribution 181 Selling Group Member 181 Distribution of No-Load Mutual Fund Shares 182 Distribution of Mutual Fund Shares 182 Mutual Fund Prospectus 182 Characteristics of Open-End Mutual Fund Shares 184 Mutual Fund Investment Objectives 185 Other Types of Funds 186 Alternative Funds 187 Floating Rate Bank Loan Funds 187 Bond Funds 187 Valuing Mutual Fund Shares 189 Changes in the NAV 190 Sales Charges 191 12B-1 Fees 193 Calculating a Mutual Fund’s Sales Charge Percentage 194 Finding the Public Offering Price 194 Sales Charge Reductions 195 Breakp
• Publisher Details: Hoboken, New Jersey : John Wiley and Sons, Inc
• Publication Date: 2019
• Extent: 1 online resource
• Subjects: 332.63/2; Stockbrokers -- United States -- Examinations -- Study guides; Investment advisors -- United States -- Examinations -- Study guides; Floor traders (Finance) -- United States -- Examinations -- Study guides; Securities -- United States -- Examinations -- Study guides; BUSINESS & ECONOMICS / Finance; Electronic books
• Languages: English
• ISBNs: 9781119553694; 1119553695
• Related ISBNs: 9781119552888
• Notes: Note: Online resource; title from PDF title page (EBSCO, viewed December 28, 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.