Bisys Series 6

Front 1

The process of how securities are issued to the public is know as.

Back 1

Underwriting

Front 2

Every trade of stocks and bonds that is not a purchase of a new issue is a trade that takes place in the secondary market. The market places for secondary trading are the _______ and the _____ ______ markets.

Back 2

exchanges
and
over-the-counter markets

Front 3

The Federal Act of 1933 assures disclosure and prevents fraud in the sale of new issues. What Act gives protection in the secondary market?

Back 3

The Securities Exchange Act of 1934 (this act created the SEC and outlines the powers of the SEC)

Front 4

The two terms used to describe a securities firm that discribes their role in any given transaction.

Back 4

Broker/Dealer

Front 5

When a securities firm is acting on behalf of others as their agent for which they earn a commission they are taking the roll of a ___________.

Back 5

Broker

Front 6

When a securities firm act for iis self as a principal for which they charge a Mark-up they are acting as a _________.

Back 6

Dealer

Front 7

A private association of brokers who's main purpose is to provide a central meeting place for its member-brokers.

Back 7

A Stock exchange

Front 8

The stock exchange operates in an Auction type of trading. the Auction is conducted by an individual employed by a member firm know as a ____________.

Back 8

Specialist

Front 9

What are the two national stock exchanges.

Back 9

New York Stock Exchange (NYSE)

American Stock Exchange(AMEX)

Front 10

Any exchange that is not a National exchange is considered a ___________ exchange.

Back 10

Regional

Front 11

Stocks that are traded on an exchange are referred to as _______ stocks. This makes them eligible for trading on the floor of the exchange.

Back 11

Listed

Front 12

The ______ _________ deal in securities of companies which have applied and qualified for trading on them, making the _____ securities.

Back 12

Stock exchanges

Listed

Front 13

The ______ ____ _______ market handles all other securities transactions that do not take place on the floor of an exchange.

Back 13

Over-the-counter

Front 14

List the five types of securities traded over- the-counter.

Back 14

1) Gov. bonds
2) Muni bonds
3) Mutual funds
4) New ussues (primary distr)
5) Variable annuities

Front 15

A firm who is willing to trade their stock is know as a.

Back 15

Money Maker

Front 16

When a securities firm is acting in the dealer roll the are creating money by buying and sell securities at a mark-up. When a dealer purchases and holds a security it is said that they have a _______ and an ____________

Back 16

Position

Inventory

Front 17

T/F Trading on the exchanges is regulated by the exchanges boards while the OTC market is regulated by the NASD.

Back 17

True

Front 18

In the 1960s, if you wanted to find out who was the market maker in the particular security or stock you would brightly colored stack of papers called the ______ ______s.

Back 18

Pink Sheets

Front 19

The association of Securities Dealers Automated Quotation System is know as the.

Back 19

NASDAQ

Front 20

Investors can get virtually the same detailed trading informat- ion about National Market list- ings as on the NYSE through the ____________ system.

Back 20

NASDAQ System

Front 21

The NASDAQ has 3 levels of services. Level 1 provides services to a rep's desk top and provides price info only on the Highest bid and the lowest offer know as the ________ __________.

Back 21

Inside Market

Front 22

A quotation that is not firm. The Prices quoted are subject to confirmation. These quotes are found in the NASDAQ level ___.

Back 22

NASDAQ Level 1

Front 23

the Nasdaq level where a large TV screen is provided where market makers are listed along with their firm bid and ask. Firm quotes can be made at this level.

Back 23

Nasdaq level 2

Front 24

The Nasdaq level used my market makers is the level ___ where not only can they see bids and asks it allows them to enter their info and report their trades.

Back 24

Nasdaq level 3

Front 25

When an exchange-listed stock occurs OTC it is considered to be a trade made in the ________ _________ market.

Back 25

Nasdaq intermarket

Front 26

Companies like Apple Computer,Starbucks, and Microsoft are part of the ______
__________ _______ ________.

Back 26

Nasdaq National Market Listing
(NNM Securities)

Front 27

When private transactions are made directly between large institutional investors, such as banks, mutual funds, and insurance companies without the use of securities firms is trading in the ______ market.

Back 27

Fourth Market

Front 28

Transactions made in the fourth market are reported on a system called ________.

Back 28

Instinet

Front 29

T/F A securities firm can act as a broker and a dealer if it wants to.

Back 29

False
It can never act as both a dealer and a broker.

Front 30

A securities firm maintaining an inventory in a particual security would be acting as a.

Back 30

Dealer

Front 31

The Uniform Practice Code of the NASD has determined that all transaction between members will settle the __________ way.

Back 31

Regular Way

Front 32

U.S. Government securities are considered regular way also but this is where delivery is.

Back 32

The next business day

Front 33

Regular way delivery is made at the office of the purchaser on, but not before, the ___ business
day on securities that are not U.S. gov.

Back 33

3rd Business day

Front 34

When a trade is made "for cash,"
delivery is made when?

Back 34

Same day as the trade

Front 35

The day that a Board of Directors publicly declares the dividend is the __________ date.

Back 35

Declaration

Front 36

The day on and after which the buyer of a security is not entitled to a previously declared dividend. Usually the 2nd business day prior to the record date.

Back 36

Ex-Dividend date

Front 37

In the case of mutual funds the Ex-dividend date is determined by the __________ or _________ ___________.

Back 37

issuer or principal underwriter.

Front 38

The day the corporation makes a list of stockholders of record.

Back 38

Record Date

Front 39

The actual day that a payment of the dividend or other distribution is made.

Back 39

Payment Date

Front 40

Please arrange the following dates into the correct order:
payment date; ex-dividend date;
declaration date; record date.

Back 40

1)Declaration Date
2)Ex-dividend Date
3)Record Date
4)Payment Date
(DERP)