SIE Exam 2025/2026 Glossary Final
Exam 2025 2026 Questions And
Answers correctly Arranged And
Graded A+
IPO - CORRECT ANSWER-The first time a company
issues securities publicly
Yield to worst - CORRECT ANSWER-Relating to
bonds, the yield to worst is the lower of the yield to
maturity and the yield to call (including if the bond
was called at any of the call dates).
,Current assets - CORRECT ANSWER-Most liquid
assets of a business, organization, or investor that
are convertible into cash within one year or less.
Current assets are cash, securities, accounts
receivable, prepaid expenses, and inventory.
Fixed assets - CORRECT ANSWER-Tangible and
intangible assets of a business, organization, or
investor that are not liquid
Discount bond - CORRECT ANSWER-Bond priced
below par value
State administrator - CORRECT ANSWER-A regulator
and enforcer of state securities laws
Current yield - CORRECT ANSWER-Annual income
on a security compared to the security's current
,market price. The formula is annual dividends or
interest divided by the current market price of the
security.
Callable bond - CORRECT ANSWER-A bond in which
the issuer may pay off debt earlier than the
maturity date
SLMA (Sallie Mae; Student Loan Marketing
Association) - CORRECT ANSWER-U.S. government
agency that issues bonds to fund student loans
Investment company - CORRECT ANSWER-A
company that raises money from investors to invest
in a diversified pool of investments.
Class A shares - CORRECT ANSWER-Mutual fund
shares in which sales charges are paid on purchases.
Class A shares offer breakpoints for investments of
, large dollar amounts into one fund or a fund family.
Class A shares are front-end load shares.
Telephone Consumer Protection Act of 1991
(Telephone Act of 1991) - CORRECT ANSWER-
Provides rules for when registered reps can call
potential customers as well as what information
needs to be provided to that person. If customers
do not want to be called, they must be placed on a
"do not call" list
Maturity - CORRECT ANSWER-The date that the
bondholders get paid back for loans and receive par
value; all bonds are issued with a stated maturity
date.
Preferred Stock - CORRECT ANSWER-may or may
not be issued by companies that promises fixed
cash dividends to investors annually based on a
percentage of par value; does not come with voting
Exam 2025 2026 Questions And
Answers correctly Arranged And
Graded A+
IPO - CORRECT ANSWER-The first time a company
issues securities publicly
Yield to worst - CORRECT ANSWER-Relating to
bonds, the yield to worst is the lower of the yield to
maturity and the yield to call (including if the bond
was called at any of the call dates).
,Current assets - CORRECT ANSWER-Most liquid
assets of a business, organization, or investor that
are convertible into cash within one year or less.
Current assets are cash, securities, accounts
receivable, prepaid expenses, and inventory.
Fixed assets - CORRECT ANSWER-Tangible and
intangible assets of a business, organization, or
investor that are not liquid
Discount bond - CORRECT ANSWER-Bond priced
below par value
State administrator - CORRECT ANSWER-A regulator
and enforcer of state securities laws
Current yield - CORRECT ANSWER-Annual income
on a security compared to the security's current
,market price. The formula is annual dividends or
interest divided by the current market price of the
security.
Callable bond - CORRECT ANSWER-A bond in which
the issuer may pay off debt earlier than the
maturity date
SLMA (Sallie Mae; Student Loan Marketing
Association) - CORRECT ANSWER-U.S. government
agency that issues bonds to fund student loans
Investment company - CORRECT ANSWER-A
company that raises money from investors to invest
in a diversified pool of investments.
Class A shares - CORRECT ANSWER-Mutual fund
shares in which sales charges are paid on purchases.
Class A shares offer breakpoints for investments of
, large dollar amounts into one fund or a fund family.
Class A shares are front-end load shares.
Telephone Consumer Protection Act of 1991
(Telephone Act of 1991) - CORRECT ANSWER-
Provides rules for when registered reps can call
potential customers as well as what information
needs to be provided to that person. If customers
do not want to be called, they must be placed on a
"do not call" list
Maturity - CORRECT ANSWER-The date that the
bondholders get paid back for loans and receive par
value; all bonds are issued with a stated maturity
date.
Preferred Stock - CORRECT ANSWER-may or may
not be issued by companies that promises fixed
cash dividends to investors annually based on a
percentage of par value; does not come with voting
