Question of the Week

Peterson Jewels plans to offer $200,000 in securities to finance its expansion to two neighboring states; it does not plan to register federally with the SEC. What method of filing is required at the state level?

a) Filing by coordination
b) Notification by filing
c) Registration by qualification
d) Filing by letter of intent

Answer:

The correct answer is c)

Peterson Jewels will need to register by qualification and, as is the case with most state securities laws, will need to meet certain conditions and provide pertinent, required information to the state administrator. Most small and local companies who do not plan to register with the SEC will register by qualification.


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