The securities industry has many features that make it attractive to illicit abusers and terrorism financing activities. These activities often involve the laundering of money and generating illicit funds within the industry. However, it is not always easy to distinguish these activities from those involving securities. There are several crimes related to this industry, including securities fraud.
There are two primary markets for securities. The first market is the primary market, where companies can sell stock to investors. The second market, the secondary market, is where shares can be sold by shareholders to other investors for cash. The securities industry also includes privately placed securities, which are not publicly traded and are only transferable to qualified investors.
Securities Industry Essentials Exam (SIE) is a FINRA exam that assesses a candidate’s knowledge of fundamental securities industry knowledge. This exam covers four sections. In addition to the SIE Exam, candidates can take additional top-off qualification exams. These exams are open to all applicants who are 18 years old or older.
There are two main types of securities: stocks and bonds. Stocks represent fractional ownership of a public company, and may include the right to vote for the company’s directors or receive a small share of profits. Other types of securities include derivatives and asset-backed securities. Securities are also marketable, which means that they can be bought and sold on exchanges.