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SIE: Investment Companies & Packaged Products
SIE practice questioneasyUITs

At the end of a Unit Investment Trust's (UIT) life, investors typically:

  1. APay a new initial sales charge
  2. BContinue to receive dividends in perpetuity
  3. CHave their units converted automatically into mutual fund shares
  4. DReceive the proceeds from liquidated underlying securities✓ Correct answer
Explanation

Why DReceive the proceeds from liquidated underlying securities

A is correct; upon maturity, UITs liquidate their holdings and pay proceeds to investors. B is inaccurate as UITs terminate. C and D do not occur automatically at UIT maturity.

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