Q:
Federal covered securities are subject to which of the following requirements?
I. State registration
II. State anti-fraud statutes
III. SEC registration
IV. SEC anti-fraud statutes
a) I & II
b) II, III & IV
c) I, II, III & IV
d) III & IV
A:
The correct answer is b.
Federal covered securities are subject to only federal registration with the SEC and do not have to register with the state. However, they must comply with both state and federal anti-fraud statutes.

MORE FAQS

  1. Which of the following signatures are required on a client’s new account form ...

  2. Which of the following are tools that are employed by the Federal Reserve in its efforts to control the money supply?

  3. Which of the following are not types of open-end management investment companies ...

  4. Which statements about common shareholder rights are FALSE? I. A shareholder may exchange shares to ...

  5. Under the Uniform Securities Act, which of the following are defined as securities ...

  6. Which of the following statements is (are) true with respect to setting the proper constraints in managing ...

  7. A margin account has a long market value of $12,000, a debit balance of -$6,000 ...

  8. A person whose registration has been revoked by an Administrator due to a felony conviction of a securities-related ...

  9. Which of the following statements is (are) true with respect to the factors that a manager must take ...

  10. If a sales representative moves from one broker-dealer to another ...

  11. ABC Broker-dealer has no office in state and transacts fewer than five trades during a 12-month period

  12. What two components are used to calculate risk-adjusted return? I ...

  13. If a person's account is frozen, which of the following activities is allowed ...

  14. Which of the following deliveries for a 600 share order, broker-dealer to broker-dealer ...

  15. Under the Uniform Securities Act, the Administration is empowered to perform which of the following ...

  16. Which statement(s) is/are FALSE about market risk?

  17. Under the Uniform Securities Act, there are anti-fraud provisions that apply to securities ...

  18. If an issuer wishes to register a security in the state ...

  19. In the separate account of a variable annuity, which of the following characteristics apply to annuity ...

  20. Zero coupon bonds are frequently cited as a popular investment vehicle for education savings ...

RELATED FAQS

  1. Which of the following signatures are required on a client’s new account form ... ...

    The correct answer is B. While local practices of a broker-dealer might require the client to sign the form, even when opening ...
  2. Which of the following are tools that are employed by the Federal Reserve in its ...

    I. Moral suasionII. Changing the discount rateIII. Changing the reserve requirementIV. Changing the prime interest rate A. ...
  3. Which of the following are not types of open-end management investment companies ...

    The correct answer is d) Hedge funds are extremely aggressive entities that engage in margin and short-selling.  They are ...
  4. Which statements about common shareholder rights are FALSE? I. A shareholder may ...

    The correct answer is a. I should be the the other way around: convertible bond holders can exchange their bonds for shares. ...
  5. Under the Uniform Securities Act, which of the following are defined as securities ...

    The correct answer is a. Fixed annuities are not considered securities, since the purchaser bears no investment risk. However, ...
  6. Which of the following statements is (are) true with respect to setting the proper ...

    The correct answer is: d) Choice II is incorrect because the longer the investment horizon, the less emphasis must be placed ...
RELATED TERMS
  1. Effective Date

    The date, declared by the Securities & Exchange Commission ...
  2. Piggyback Registration Rights

    A form of registration rights that grants the investor the right ...
  3. SEC Form S-6

    A filing with the Securities and Exchange Commission (SEC), which ...
  4. SEC Form 10

    A filing with the Securities and Exchange Commission (SEC), also ...
  5. Shelf Registration

    A regulation that a corporation can evoke to comply with U.S. ...
  6. SEC Form F-4

    A filing with the Securities and Exchange Commission (SEC) required ...
Hot Definitions
  1. Labor Market

    The labor market refers to the supply and demand for labor, in which employees provide the supply and employers the demand. ...
  2. Demand Curve

    The demand curve is a graphical representation of the relationship between the price of a good or service and the quantity ...
  3. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  4. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  5. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  6. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
Trading Center