In the article "A New Uniform Securities Act" by Richard B. Smith, registration by coordination is outlined as follows:

"The objective of coordination is the simultaneous registration of the offering at the SEC and in the states where the offering is to be made. In order to facilitate coordinated registration, the state securities administrators association has implemented a system for coordinated review of these offerings by the states."

Under the USA, registration by coordination is for securities that are registered with the SEC but are not federal covered securities.

Securities that may fall into this category include those that do not meet the listing standards of exchanges and/or are upgrading.
 

Look Out!
The term "coordination" describes registration, as the securities are to be registered with the SEC and with individual states where they will be offered and/or sold.

Under registration by coordination, the issuer, offeror or broker-dealer of the security generally needs to supply the Administrator with a long laundry list of items regarding the security.

The USA states that registration by coordination is for a "security for which a registration statement has been filed under the Securities Act of 1933 in connection with the same offering". Along with a registration application, the USA states that issuers must also file the following:

  • A copy of the latest form of prospectus filed under the Securities Act of 1933
  • A copy of the articles of incorporation and bylaws or their substantial equivalents currently in effect
  • A copy of any agreement with or among underwriters
  • A copy of any indenture or other instrument governing the issuance of the security to be registered
  • A specimen, copy or description of the security
  • Copies of any other information or any other records filed by the issuer under the Securities Act of 1933 and requested by the Administrator
  • An undertaking to forward each amendment to the federal prospectus, other than an amendment that delays the effective date of the registration statement, promptly after it is filed with the Securities and Exchange Commission

A registration becomes effective subsequent to the federal registration if:

  • a stop order or proceeding is not pending.
  • the registration statement has been on file for at least 20 days, (or less, depending on the rule adopted or order issued under the USA.)

If federal registration is met (before all the aforementioned conditions are met), the issuer is obligated to notify the Administrator immediately.



Registration by Qualification

Related Articles
  1. Managing Wealth

    Trade Name Vs. Trademark: Know the Difference

    Understand the differences between a trade name and a trademark, the different functions they serve and registration considerations for business owners.
  2. Financial Advisor

    Becoming A Registered Investment Advisor

    To become a registered investment advisor requires specific licensing, qualifications and regulations, but the greater freedom may be worth it.
  3. Investing

    What's the Primary Market?

    The primary markets are where investors can get first crack at a new security issuance.
  4. Investing

    SEC Filings: Forms You Need To Know

    The forms companies are required to file provide a clear view of their histories and progress.
  5. Managing Wealth

    Laws & Regulations To Know Before Changing the Name of Your Business

    Discover some of the most important steps you need to take after making a decision to change your legally established business name.
  6. Investing

    Commercial Paper

    Commercial paper is a short-term debt security issued by financial companies and large corporations. The corporation promises the buyer a return, or profit, for making the loan. The return is ...
  7. Tech

    New Avenues For Bitcoin Funding Opened Up By SEC

    Could New SEC Regulations Pave the Way for Investing in Bitcoin Startups?
  8. Personal Finance

    Policing The Securities Market: An Overview Of The SEC

    Find out how this regulatory body protects the rights of investors.
  9. Financial Advisor

    SEC on Advisor Performance Claims: 'Show Your Work'

    The SEC will now require advisors to keep records of any documentation that is distributed to clients that contains performance numbers of any kind.
Frequently Asked Questions
  1. Depreciation Can Shield Taxes, Bolster Cash Flow

    Depreciation can be used as a tax-deductible expense to reduce tax costs, bolstering cash flow
  2. What schools did Warren Buffett attend on his way to getting his science and economics degrees?

    Learn how Warren Buffett became so successful through his attendance at multiple prestigious schools and his real-world experiences.
  3. How many attempts at each CFA exam is a candidate permitted?

    The CFA Institute allows an individual an unlimited amount of attempts at each examination.Although you can attempt the examination ...
  4. What's the average salary of a market research analyst?

    Learn about average stock market analyst salaries in the U.S. and different factors that affect salaries and overall levels ...
Trading Center