FINRA Investment Company and Variable Contracts Products Representative Examination (IR) - Series6 FREE EXAM DUMPS QUESTIONS & ANSWERS

Ms. Newbie, a newly-minted registered representative with Savvy Investments, just had her first client
walk through the door. Before she can do anything, Ms. Newbie must obtain which of the following pieces
of information from her client?

NASDAQ market makers provide investors with assurance that:

Your nephew has asked you to help him formulate a financial plan for his family. Scott is 27 years old and
has been employed as an associate with a law firm for two years. Sarah, his wife, is 26 years old and
works in the human resources department of a large corporation. The couple is childless now, but they
plan to begin a family in a few years. Together, they have accumulated $10,000 in a savings account and
recently inherited $40,000 cash. They expect to be able to start saving at least $5,000 annually since their
incomes more than meet their current needs. They each have employer-provided health insurance and
retirement plans. Both have excellent upward mobility potential in their careers. They currently pay taxes
at the marginal rate of 15%. Scott tells you that although they regularly read some of the more popular
financial investment magazines, neither feels particularly knowledgeable about the world of investments.
Based on this information, which of the following statements is true?

The totalof a mutual fund's front-end load, rear-end load, and 12b-1 fees may not exceed:

The Securities Exchange Act of 1934:
I. regulates the market for new issues.
II. delineates the registration requirements for investment advisers.
III. regulates secondary market activities.
IV. requires that officers and some other employees of member firms submit their fingerprints to the U.S.
attorney general's office.

Mandatory guidelines for the prospectuses of which of the following are dictated by the Investment
Company Act of 1940?
I. mutual funds
II. closed-end investment companies
III. unit investment trusts
IV. variable contracts

Which of the following types of securities would not be traded in the over-the-counter market?
I. stock options
II. government bonds
III. corporate bonds
IV. corporate stocks

The AGRO Mutual Fund invests in aggressive growth stocks of midcap corporations. The fund is running
an advertisement on the radio that informs the listeners that AGRO earned a 22% return last year while
the S&P 500 Index returned only 10%.The ad also contains information regarding how an interested
investor can contain a fund prospectus. Has AGROviolated any securities laws with this advertisement?

One difference between investing in a variable annuity and in a mutual fund is that:

Pete Prophet, the manager of a bond mutual fund, is expecting interest rates to increase. All else equal,
which of the following bonds would be the best investment under this assumption?

Which of the following would not be required to display prominently the name of the member firm issuing
it?
I. sales literature distributed to an institutional investor
II. correspondence by a registered representative with her client
III. an advertisement to recruit new registered representatives

Ms. Ears is an investment adviser representative. During lunch today, she overheard two men talking
about a hostile takeover that their firm was preparing to undertake. Based on this information, Ms. Ears
does not hesitate to advise the client she meets with immediately after lunch-Mrs. Clueless-- to invest a
sum of money in the firm the men had named as the target firm. Ms. Ears remembers that the price of
target firms, on average, increases significantly with an announcement of this sort, but she does not
inform Mrs. Clueless of the reason underlying her recommendation. Has there been any violation of
insider trading laws in this scenario, as described?

Which of the following is not a characteristic of all auction stock exchanges in the U.S.?