STUDY FOR THE SECURITIES INDUSTRY ESSENTIALS EXAM (SIE) EXAM

Are you planning to sit for the Securities Industry Essentials (SIE) exam? Then you owe it to yourself to consider Bob Eder's study text, Study for the Securities Industry Essentials (SIE) Exam . Bob Eder's book,  Study for the Securities Industry Essentials (SIE) Exam , can help you prepare for the SIE test.  Unlike other study texts for the SIE exam, Bob Eder does not throw in superfluous material to make the material appear larger or more important. How can you be sure? Bob Eder's book lists the numbers from FINRA's Content Outline that inform the student what the SIE exam can ask the test applicant, not superfluous material that does not have a chance of appearing. Bob Eder thus saves you valuable time in studying test material and avoiding what does not appear. Here is the link to FINRA's Content Outline for the SIE Exam.  Bob Eder 's Study for the SIE Exam closely follows FINRA's Content Outline so that you don't waste time in studying material no...

  When investing in stocks and  bonds, an investor needs to be aware that the investing carries various risks and and that it will not always be successful or profitable. Some of these risks entail chances of losing a good part of the investment, and, in some cases, all of it. The Securities Industry Essentials Exam (SIE) asks questions about various investment risks. How do I know this? FINRA publishes a guide to the exam, Securities Industry Essentials Exam Content Outline, and in Section 2.2, FINRA lists "Investment Risks." These risks include capital, credit, currency liquidity, non-systematic, political and prepayment, among others. Bob Eder in his Study for the Securities Industry Essentials (SIE) Exam covers these risks in some detail. Here is an example of Bob Eder's discussion on Investment Risks: Systematic Risk                            ...

  Thinking of taking the Securities Industry Essentials (SIE) exam? Then make sure that you study the characteristics of Private Placements and Private Offerings because you are likely to see questions about these topics on the SIE exam. How do I know this? FINRA list these topics In its Content Outline for the SIE Exam in Section 1.4, entitled Offerings. Bob Eder in his SIE guide,  Study for the Securities Industry Essentials (SIE) Exam , discusses Private Placements and Offerings in detail. Here is a sample of Bob Eder's discussion: Rule 506 Under Rule 506 of Reg. D, there is no dollar limit on the size of the private offering. Moreover, there may not be more than 35 investors. In addition, Reg. D allows an unlimited number of accredited investors, generally those with sizeable assets or income. In a Rule 506 offering, all purchasers, accredited or non-accredited, must be knowledgeable and sophisticated investors, meaning that they are both familiar with investing and that...

Taking the Securities Industry Essentials exam soon? How would you answer the following hypothetical question on inverse relationship between bond dollar price and bond yield? Harry purchases $100,000 Treasury bills having a maturity of three months and yielding 4.43 percent. Two months later, Harry sells the T bills in the open market when they are yielding 4.02 percent. Harry has realized: a.    a gain b.    a loss c.    neither a gain or a loss d.    not enough information to answer The answer is (a). Harry has realized a gain on his T bills. Why a gain? Because Harry purchased these T bills when they were yielding 4.43 percent. Then he sold the T bills when they were yielding 4.02 percent. The yield has decreased from 4.43 to 4.02 percent. Since yield is inversely related to dollar price, that means that Harry's sale dollar price was higher than his purchase dollar price. Harry bought low and then sold high in terms of dollar price. Thus Harry...

Exercise on most options on stocks settle by delivery of the underlying shares. This means that upon settlement, the writer of a call on GM stock must deliver or sell 100 shares of GM stock. The holder of a put on IBM stock will, upon settlement, deliver or sell 100 shares of IBM stock. However, when it comes to exercise of index options, such as puts and calls on the S&P 100 Index, settlement of exercise is done solely in cash, and not by delivery of the underlying index. Why? Because it would be nearly impossible to deliver the index. How exercise of options is settled is included in FINRA's Content Outline for the SIE exam. See 2.1.3 of the Content Outline. Bob Eder's  Study for the Securities Industry Essentials (SIE) Exam  closely follows FINRA's SIE Content Outline. It lists Content Outline  reference numbers  for each major paragraph in the text, and it links each of the questions in the two end-of-text tests to the SIE Content Outline. Why is this im...