SIE Exam Question 1036: Answer and Explanation

Question: 1036

According to FINRA guidelines, a broker or dealer shall maintain net capital of not less than __________ if it acts as a broker or dealer with respect to the purchase, sale, and redemption of redeemable shares of registered investment companies.

• A. $10,000
• B. $25,000
• C. $50,000
• D. $100,000

Correct Answer: B

Explanation:

According to FINRA guidelines, a broker or dealer shall maintain net capital of not less than $25,000 if it acts as a broker or dealer with respect to the purchase, sale, and redemption of redeemable shares of registered investment companies.