Question of the Week

Under the Uniform Securities Act, there are anti-fraud provisions that apply to securities. Which of the following statements is true?

a) Anti-fraud provisions apply to both exempt and non-exempt securities
b) Anti-fraud provisions apply to exempt securities only
c) Anti-fraud provisions apply to non-exempt securities only
d) Anti-fraud provisions apply neither to exempt or non-exempt securities


Answer:

The correct answer is a.

As with other antifraud provisions under the Act, the antifraud provisions apply to all securities without exempt from registration or part of an exempt transaction.