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 of the following statements is (are) true with respect to the calculation of returns of composites ...

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

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

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

  8. Which TWO statements are TRUE about writing covered calls? I ...

  9. Under the Telephone Consumer Act of 1991, a telemarketer must provide which of the following to a called ...

  10. Under the Uniform Securities Act, registration with the Administrator as an investment adviser is required ...

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

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 A person whose registration has been revoked by an Administrator due to a felony conviction of a securities-related ...

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

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

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

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

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

  18. Money laundering has become a specific concern in all legitimate financial institutions worldwide ...

  19. Which of the following, under the NASD Conduct Rules, would constitute a complaint ...

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

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 of the following statements is (are) true with respect to the calculation ...

    The correct answer is: a) (I) is incorrect because results that cover a period of less than a year must "not" be annualized. ...
  5. 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. ...
  6. 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, ...
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 ...

You May Also Like

Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center