FINRA SIE Question Answer
Which of the following statements describes a characteristic of Treasury securities?
They are liquid.
They are callable.
They are FDIC-insured.
They are issued by the U.S. government with a high amount of default risk.
Treasury securities are among the most liquid investments, as they are backed by the U.S. government and trade actively in large volumes.
A is correct because Treasuries are highly liquid, making them easy to buy and sell.
B is incorrect because most Treasury securities are not callable.
C is incorrect because FDIC insurance applies to bank deposits, not Treasuries.
D is incorrect because U.S. government securities have negligible default risk.
TESTED 09 Jan 2026
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