Retirement Accounts
The Pension Benefit Guaranty Corporation (PBGC) insures which type of retirement plan?
The PBGC only insures defined benefit (pension) plans, which promise a specific retirement benefit. Defined contribution plans like 401(k)s, 403(b)s, and IRAs are not PBGC-insured because they are individual accounts wit
Complete Analysis & Legal Rationale
The PBGC only insures defined benefit (pension) plans, which promise a specific retirement benefit. Defined contribution plans like 401(k)s, 403(b)s, and IRAs are not PBGC-insured because they are individual accounts without a promised benefit amount.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
Does not match the governing concept in the explanation.
Matches the verified teaching point in the explanation.
Does not match the governing concept in the explanation.
Does not match the governing concept in the explanation.
Official Standard: Outline-level citation pending rule-specific upgrade. Verify against current FINRA Series 7 outline.