A:

a. Antifraud provisions apply to non-exempt securities only.
b. Antifraud provisions apply to exempt securities only.

c. Antifraud provisions apply to both exempt and non-exempt securities.

d. Antifraud provisions apply neither to exempt nor to non-exempt securities.

Answer: C

As with other antifraud provisions under the Act (such as for actions by IAs), the antifraud provisions apply to all securities.

RELATED FAQS
  1. Federal covered securities are subject to which of the following requirements ... ...

    The correct answer is b. Federal covered securities are subject to only federal registration with the SEC and do not have ... Read Answer >>
  2. What's the difference between accrued expenses and provisions?

    Read about the differences between accrued expenses and provisions, and why a company might record one over the other in ... Read Answer >>
  3. Transactions are exempt from registration where …

    Transactions are exempt from registration where … a. A sale, or offer of sale is made to ALL clients of a brokerage ... Read Answer >>
  4. In what ways can a sinking fund affect bond returns?

    Find out how a bond sinking fund provision impacts the likely returns on a corporate bond, and learn why investors should ... Read Answer >>
Related Articles
  1. Personal Finance

    What is a Loan Loss Provision?

    Banks set aside loan loss provisions to cover losses from bad loans.
  2. Taxes

    Are You Missing Out On These Tax Exemptions?

    To lower your tax bill, make sure that you're taking all the exemptions that apply to you.
  3. Financial Advisor

    Succeeding At The Series 63 Exam

    Your career as a securities agent begins with this test. We'll show you how to score high.
  4. Personal Finance

    The Benefits of Salary Vs. Hourly Wages

    Going from an hourly position to a salaried one often comes with a big pay raise. But there are some things to think about before celebrating.
  5. Retirement

    Is there any way to opt out of paying Social Security?

    Understand more about the purpose of the Social Security system and learn which groups of taxpayers are automatically exempt from the tax.
  6. Financial Advisor

    Some Annuities Lose Fiduciary Rule Exemption

    Fixed-indexed annuities have lost an exemption under the final fiduciary rule, a move that wasn't expected.
  7. Personal Finance

    Which Is Better: A Salary or Hourly Wages?

    When it comes to getting paid, a salary may be the more prestigious option, but you actually could take home more being paid by the hour. Here's why.
  8. Taxes

    7 Sources Of Nontaxable Income

    All income in the United States is taxable, unless a provision specifically excludes it. Here are seven of those exceptions.
  9. Managing Wealth

    Why You Should Draft A Will

    Don't trust the courts to follow your wishes - plan the distribution of your own assets.
  10. Investing

    Applied Materials Trades Ex-Dividend Tuesday (AMAT)

    Applied Materials will send its dividend payment on Dec. 15 to shareholders of record as of Nov. 25.
RELATED TERMS
  1. SEC Form D

    A filing with the Securities and Exchange Commission (SEC) required ...
  2. Provision

    A legal clause or condition contained within a contract that ...
  3. Make Whole Call (Provision)

    A type of call provision on a bond allowing the borrower to pay ...
  4. Waiver Of Exemption

    A provision in a consumer credit contract or loan agreement that ...
  5. Callable Security

    A security with an embedded call provision that allows the issuer ...
  6. Unilateral Extended Reporting Period Provision

    An insurance contract provision that allows the insured to extend ...
Hot Definitions
  1. Expense Ratio

    A measure of what it costs an investment company to operate a mutual fund. An expense ratio is determined through an annual ...
  2. Pro Forma

    A Latin term meaning "for the sake of form". In the investing world, it describes a method of calculating financial results ...
  3. Trumpcare

    The American Health Care Act, also known as Trumpcare and Ryancare, is the Republican proposal to replace Obamacare.
  4. Free Carrier - FCA

    A trade term requiring the seller to deliver goods to a named airport, terminal, or other place where the carrier operates. ...
  5. Portable Alpha

    A strategy in which portfolio managers separate alpha from beta by investing in securities that differ from the market index ...
  6. Run Rate

    1. How the financial performance of a company would look if you were to extrapolate current results out over a certain period ...
Trading Center