ICMA SOFQ Exam Questions Instant Access - No Installation Required

Question 1

'Sub-custodian' is a term that is applicable to:

AInternational central securities depositories

BGlobal custodians

CLocal custodians

DNational central securities depositories

Answer : B

Question 2

The two choices for the settlement method utilised within a securities market are:

A'Account Settlement1 and Tumbling Settlement'

BTumbling Settlement' and 'Continuing Settlement'

C'Continuing Settlement'and'Account Settlement'

D'Rolling Settlement' and 'Account Settlement'

Answer : D

Question 3

On a scale of 1,500,000 Microsoft Corporation shares at a price of USD 3.78 per share, the SEC Fee payable is::

AUSD 1.89

BUSD 18.90

CUSD 189.00

DUSD 1890.00

Answer : C

Question 4

A firm executing a securities trade in the capacity of agency broker intends:

ATo take a securities position, and to remain market risk neutral

BNot to take a securities position, and not to remain market risk neutra

CNot to take a securities position, and to remain market risk neutral

DTo take a securities position, and not to remain market risk neutral

Answer : A

Question 5

Grey market trading refers to:

ATrading of equity and bonds by investors aged 65 and over at the start of the tax year

BTrading in convertible and exchangeable bonds prior to their conversion

CTrading in corporate bonds following the bondholder's decision to take-up a put option

DTrading in a new issue of bonds by parties not involved in the syndication process

Answer : D

Question 6

The following are examples of money market instruments:

AZero coupon bonds and Floating-rate notes

BConvertible bonds and Mortgage-Backed Securities

CFixed-rate bonds and Step-up bonds

DCommercial Paper and Certificate of Deposit

Answer : D

Question 7

'ISO' stands for:

AInvention of Standards for Organisations

BIntercontinental Symposium of Organisations

CInternational Organisation for Standardisation

DIntraterritorial Organisation of Securities

Answer : C

ICMA Securities Operations Foundation Qualification (SOFQ) SOFQ Exam Questions