Professional Documents
Culture Documents
A
True or false
1. In general, a person who effects transactions in securities for itself or for the
account of other in the course of business must register in the state as a
broker dealer
2. Under the USA, an out of state firm that transacts business with an
established customer who is on vacation is not considered a broker-dealer in
the state in which the customer is on vacation
3. A person not defined under the USA as a broker-dealer in the state need not
register as such
4. A broker-dealer registered in several states must meet the net capital
standard of the state with the most stringent requirement.
Quick Quiz 1.B
Here are the examples of question you might see on the exam :
1. Under the uniform securities act, the term agent would include an individual
who represents an issuer in effecting non- exempt transactions in
A. A city of Montreal general general obligation bond
B. Common stock offered by a commercial bank
C. A New Jersey turnpike Revenue bond
D. Non exempt securities
2. Under the uniform securities act the term agent would include
A. An individual who represent an issuer I transactions in exempt
securities
B. An individual who represent a broker dealer in a transaction in an
exempt security
C. A receptionist for a broker dealer who directs calls for trade information
to the appropriate individual
D. The vice president of personnel for a national brokerage firm
Quick Quiz 1. G
1) Under the USA , which of the following automatically becomes
registered as an agent when a broker deals registration becomes
effective?
A. Only the designated supervisory principal
B. Any partner officer or person of similar status or similar
function whose activities fall under the definition of an
agent
C. All agents currently registered with FINRA through that
broker dealer
D. No one
1. ABC shoe company, a new retail shoe chain ,has applied for the
registration of its securities with the SEC as required by the
Securities Act of 1933 and wants to register its securities in the
state of Illinois.ABC shoe company would most likely register by
coordination
2. Any company may register by qualification whether or not it files
a statement with the SEC.
Quick Quiz 2.C
1. Which of the following securities is(are) exempt from the
registration and advertising filing requirement under the
USA?
I.
Shares of investment companies registered under
the investment company Act of 1940
II.
Shares sold on the Nasdaq stock Market
III.
AAA rated promissory notes of $10000 that mature
in 30days
IV.
Shares sold on the New York Stock Exchange
A. I only
B. II,III and IV
C. II and Iv
D. I,II,III and IV
2. Which of the following securities is NOT exempt from the
registration and advertising requirement of the USA?
A. Shares of Commonwealth Edison, a regulated
public utility holding company
B. Securities issued by the Carnegie Endowment for
peace
C. Securities issued by a bank that is member of the
Federal Reserve System
D. Variable annuity contract issued by Metrodential
Insurance Co.
1. Mr. Thompson, an agent with First Securities , Inc. (a broker dealer), receive
an unsolicited request to purchase a security for Mary Gordon, a high net
worth individual
2. The sale of an unregistered security in a private, nonpublicly advertised
transaction offered to 10 or fewer retail investors over the last 12 months
3. The sale of unclaimed securities by the sheriff of Santa Fe, New Mexico
4. Sale of stock of a privately owned company to the public in an initial public
offering
5. Which of the following are exempt transactions?
I.
An agent sells a security issued by a foreign Government with which
the U.S. has diplomatic relations to an individual client
II.
An unsolicited request from an existing client to purchase a nonexempt
security
III.
The sale of an unregistered security in a private, nonpublicly
advertised transaction advertised to 14noninstitutional investors over
a period not exceeding 12 months
IV.
The sale of unlisted securities by a trustee in bankruptcy
A. I and II
B. I and III
C. II and IV
D. III and IV
Quick Quiz 2.E
With regard to the registration requirement of the Uniform securities Act,
which of the following statements are TRUE?
I.
Only the issuer itself can file a registration statement with the
Administrator.
II.
An application for registration must indicate the amount of securities to
be issued in the state
III.
The Administrator may require registrants to file quarterly reports.
A.
B.
C.
D.
I and II
I and III
II and III
I,II and III
The SEC has entered an order barring the executive vice president of
the firm from association with any firm in the investments business.
BJS has just been fined $3500 by the NYSE
A civil suit has just been filed against BJS by one of its clients alleging
that BJS made unsuitable recommendations.
A.
B.
C.
D.
I and II
I and III
II and III
None of the above