Series 65 practice test

Under the Investment Advisers Act, a lawyer, accountant, teacher, or engineer whose investment advice is solely incidental to their profession and who receives no special compensation for it is generally treated how?

An open-end investment company, commonly called a mutual fund, continuously does which of the following?

As a fiduciary, an investment adviser is held to which standard when making recommendations to a client?

A key difference between a traditional individual retirement account and a Roth individual retirement account is which of the following?

Under the Investment Advisers Act, an investment adviser may generally charge a performance-based fee only to clients who meet which condition?

According to modern portfolio theory, the efficient frontier represents portfolios that offer which of the following?

Under the Investment Advisers Act brochure rule, an adviser generally must deliver its disclosure brochure to a prospective client at which time?

An investor sells a stock that they held for 18 months at a profit. The gain is generally treated as which of the following for federal tax purposes?

If a bond is purchased at a discount to its par value, how does its yield to maturity compare to its nominal coupon rate?

A 68-year-old retired client relies on portfolio income for living expenses and has a low risk tolerance. Which recommendation is generally most suitable?

Under the Investment Advisers Act, which of the following advisory practices is generally prohibited?

An exchange-traded fund differs from a traditional open-end mutual fund primarily in that an ETF does which of the following?

The Consumer Price Index is most commonly used as a measure of which economic factor?

An agency cross transaction occurs when an investment adviser does which of the following?

An investor deposits 1000 dollars in an account earning 5 percent simple interest per year. How much simple interest will the account earn after 3 years?

Under the Investment Advisers Act marketing rule, an adviser advertisement that includes testimonials must do which of the following?

An account titled as joint tenants with right of survivorship means that upon the death of one owner, the deceased owner share does which of the following?

An adviser recommends spreading a client investments across stocks, bonds, and cash equivalents in different sectors. This practice is intended primarily to do which of the following?

An investment adviser representative tells a client that the state Administrator has approved the merits of a recommended security. This statement is which of the following?