Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Series 6 > Section 2a Suitability Recomendations > Flashcards

Section 2a Suitability Recomendations Flashcards

1
Q

Investment objective: Growth(balanced moderate growth)

A

Common stock, common stock mutual funds

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Investment objective: growth(aggressive growth)

A

Blue chip stocks, defensive stocks

Technology stocks, sector funds cyclical stocks

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Investment objective: Income

A

Bonds(but not zero coupons)

Tax-free income-Municipal bonds, muni bond funds

High-yield income- corporate bonds, corporate bond funds

From stock portfolio- preferred stock, utility stock

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Investor objective: liquidity

A

Money-market funds, common stock, some bonds (DPPs, bank CDs, real estate, and annuities are NOT considered liquid)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Investment objective: preservation of capital/safety

A

Government securities, Ginnie Maes, highly rated corporate bonds(AAA), municipal bonds, money-market securities

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are the 3 main suitability obligations under FINRA

A
  1. Reasonable-Basis
  2. Customer-Specific
  3. Quantitative Suitability
How well did you know this?
1
Not at all
2
3
4
5
Perfectly

Series 6 (17 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions