SIE practice questionmediumStatutory Disqualification
Which of the following would cause an individual to be subject to statutory disqualification from the securities industry?
- AFailing the SIE exam on the first attempt
- BReceiving a customer complaint that was later dismissed
- CBeing convicted of a securities-related felony within the past 10 years✓ Correct answer
- DChanging broker-dealer employers three times in two years
Explanation
Why C — Being convicted of a securities-related felony within the past 10 years
Statutory disqualification can arise from a securities-related felony conviction within the lookback period, certain fraud/theft-related convictions, SRO expulsions or suspensions, and specified SEC or court orders. Failing an exam, changing employers, or receiving a dismissed complaint does not by itself trigger statutory disqualification.
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