SIE Understanding Products and Their Risks Practice Question 3

Correct Answer: A

Explanation:

A: A broker-dealer is required to be a member of the Financial Industry Regulatory Authority (FINRA). Choice B is the organization that regulates the securities industry and does not require a broker-dealer to be a member. Choice C is a stock exchange regulated by the SEC and does not require a broker-dealer to be a member. Choice D is a nonprofit corporation that reflects whether complaints have been issued regarding businesses, charities, and nonprofit organizations and does not offer memberships.