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Securities Industry Essentials (SIE) study guide

Securities Industry Essentials (SIE), administered by FINRA (Financial Industry Regulatory Authority), is mapped here as 4 topic areas; the heaviest are Understanding Products & Their Risks (44%), Trading, Customer Accounts & Prohibited Activities (31%) and Knowledge of Capital Markets (16%).

About this course: Original FINRA SIE practice questions, recorded lessons, memory hooks and explained answers. Start with the free introductory modules.

Securities Industry Essentials (SIE) at a glance

Questions
85
Time allowed
1 hour 45 minutes
Passing standard
70 on a 0-100 scaled score over 75 scored items (+10 unscored pretest = 85 administered)
Format
multiple-choice, computer-based
Standard / edition
current FINRA SIE Content Outline (weightings verified 2026; re-confirm edition each build)
Administered by
FINRA (Financial Industry Regulatory Authority)

Source: current FINRA SIE Content Outline (weightings verified 2026; re-confirm edition each build), FINRA (Financial Industry Regulatory Authority). Confirm current details with the exam owner before you book.

Topic areas and weights

Topic areaWeightConceptsGuide
Knowledge of Capital Markets16%11Section below
Understanding Products & Their Risks44%42Topic page
Trading, Customer Accounts & Prohibited Activities31%20Topic page
Overview of the Regulatory Framework9%7Section below

Topic guides at a glance

Understanding Products & Their Risks

44% of the course blueprint, 42 concepts. Emphasized: What does owning common stock mean, and what rights does it give you?, What is preferred stock and what makes it different from common? and How do common and preferred stock differ — voting, dividends, and liquidation priority?.

Trading, Customer Accounts & Prohibited Activities

31% of the course blueprint, 20 concepts. Emphasized: What is the difference between a market order and a limit order?, What are bid, ask, and spread? and What is a margin account and what does Regulation T require?.

Study plan in this course

  1. Market Structure & Participants — 6 cards · free
  2. New Issues & Economic Factors — 6 cards · free
  3. Equity Securities — 7 cards · free
  4. Debt & Fixed Income — 8 cards · full course
  5. Municipal Securities — 5 cards · full course
  6. Packaged Products — 9 cards · full course
  7. Options — 6 cards · full course
  8. Investment Risks — 7 cards · full course
  9. Trading & Market Mechanics — 7 cards · full course
  10. Customer Accounts — 6 cards · full course
  11. Prohibited Activities & AML — 10 cards · full course
  12. Regulatory Framework — 7 cards · full course

Knowledge of Capital Markets

Knowledge of Capital Markets carries 16% of the Securities Industry Essentials (SIE) blueprint used in this course, the third-largest of its 4 weighted areas. It spans 11 concepts. The course teaches it in 2 study units: Market Structure & Participants and New Issues & Economic Factors.

What Knowledge of Capital Markets covers

  • What is the key difference between a broker-dealer and an investment adviser? — FINRA SIE Content Outline §1.A
  • What does an underwriter do, and what is a syndicate? — FINRA SIE Content Outline §1.B
  • How do the SEC and SROs fit together in securities regulation? — FINRA SIE Content Outline §1.C
  • What roles do transfer agents, registrars, and the DTCC play? — FINRA SIE Content Outline §1.D
  • What do market makers, custodians, and depositories each do? — FINRA SIE Content Outline §1.E
  • What are the four types of securities markets — primary, secondary, third, and fourth? — FINRA SIE Content Outline §1.F
  • What is an IPO and how does the underwriting process work? — FINRA SIE Content Outline §2.A
  • What did the Securities Act of 1933 require, and what is a prospectus? — Securities Act of 1933
  • What are the Federal Reserve's three main monetary policy tools? — FINRA SIE Content Outline §2.C
  • What are leading vs. lagging economic indicators, and what do CPI and GDP measure? — FINRA SIE Content Outline §2.D
  • What is the difference between fiscal policy and monetary policy? — FINRA SIE Content Outline §2.E

Official references for Knowledge of Capital Markets

  • FINRA SIE Content Outline: §1.A, §1.B, §1.C, §1.D, §1.E, §1.F, §2.A, §2.B, §2.C, §2.D, §2.E
  • Securities Act of: 1933

In the app this area comes with 12 memory cards and 12 module-quiz questions and is part of the free starting modules.

Overview of the Regulatory Framework

Overview of the Regulatory Framework carries 9% of the Securities Industry Essentials (SIE) blueprint used in this course, the 4th-largest of its 4 weighted areas. It spans 7 concepts. The course teaches it in 1 study unit: Regulatory Framework.

What Overview of the Regulatory Framework covers

  • What does the Securities Act of 1933 regulate, and what is its core requirement? — Securities Act of 1933
  • What does the Securities Exchange Act of 1934 regulate, and what major institution did it create? — Securities Exchange Act of 1934
  • How do you keep the 1933 Act and the 1934 Act straight on exam day? — Securities Act of 1933
  • What do the two 1940 Acts regulate? — Investment Company Act of 1940
  • Name the key regulators in the securities industry and their roles. — Securities Exchange Act of 1934
  • What does SIPC protect, and what does it NOT cover? — Securities Investor Protection Act of 1970
  • What is blue-sky regulation and what is the Uniform Securities Act? — Uniform Securities Act

Official references for Overview of the Regulatory Framework

  • Securities Act of: 1933
  • Securities Exchange Act of: 1934
  • Investment Company Act of: 1940
  • Securities Investor Protection Act of: 1970
  • Uniform Securities Act

In the app this area comes with 7 memory cards and 7 module-quiz questions in the full course.

Official references

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