Series 63 Domain 3 (Quiz 4): Regulations of Broker Dealers

Fast Growth Securities, Inc. (FGSI), a member of the Financial Industry Regulatory Authority (FINRA), has its main office in State A and is therefore

Each of the following requirements is common to the registration of agents, investment adviser representatives, state-registered investment advisers, and broker-dealers under the Uniform Securities Act except

Which of the following legal or disciplinary actions is a broker-dealer not required to disclose to clients and prospective clients if they occurred within the last 10 years?

The application for registration as a broker-dealer in a state discloses that the firm's registration in a different state was revoked four years ago. The cause was repeated violations of the Uniform Securities Act. This would most likely lead to the Administrator of this state declining the application under the legal concept of

Northwestern Options Traders (NOT) is a broker-dealer registered with the SEC. NOT is also registered in eight states. With regard to NOT's net capital requirements,

An Administrator wishing to set the net capital requirement for a broker-dealer may not require an amount greater than that

Which of the following statements is not true regarding the authority of the Administrator under the Uniform Securities Act?

In lieu of a surety bond, the Administrator is authorized to accept

The Uniform Securities Act requires that, under certain conditions, broker-dealers must maintain a surety bond. The amount that must be kept is no higher than

Under the Uniform Securities Act, broker-dealers may not be required by the Administrator to

As part of the registration process as a broker-dealer in a state, the Administrator may require

Alice Worthington is a registered agent with a broker-dealer. She is highly successful at bringing new clients to the firm. Although some of her techniques tend to be in conflict with the firm's compliance policies, the revenue generated by these new clients is considered to be worth taking the risk. One of Worthington's customers complains to the Administrator that she believes trades have been made without her authorization and conversion of the proceeds has taken place. After an investigation, Worthington is found guilty and her registration is revoked. This would most likely

The document that appoints the Administrator as the applicant for registration as a broker-dealer's attorney to receive and process noncriminal securities-related complaints against the applicant is

All of the following statements regarding registration of broker-dealers under the Uniform Securities Act are true except

The recordkeeping rules of the Uniform Securities Act contain specific retention requirements. Among those is a stated period during which the records must be readily accessible. Readily accessible means the records are located

If XYZ is a registered broker-dealer with its lone office located in State T, under which of the following circumstances must it also register in State L? I. XYZ's only dealings in State L are directly with issuers of securities in State L. II. XYZ engages in extensive transactions with the largest insurance company in State L. III. XYZ routinely sells nonexempt securities to extremely high-net-worth residents of State L. IV. XYZ purchases exempt securities from extremely high-net-worth residents of State L for resale to residents of State T.

Diligent Investment Services (DIS) has been registered in States B and C for about five years. DIS applies for registration as a broker-dealer in State C on October 19, 2020. If the registration is accepted, it would be correct to state that

Form BD is used to register

A broker-dealer suddenly incurs a liability that materially affects its net capital. Which of the following statements under the Uniform Securities Act is true?

Powers granted to the Administrator under the Uniform Securities Act include the ability to inspect the records of a broker-dealer

The Uniform Securities Act requires that broker-dealers maintain all of the following records except

First Growth Securities, Inc., a member of the Financial Industry Regulatory Authority (FINRA), has its main office in State I and is therefore

Records that must be kept by a broker-dealer include all of the following except

On April 15, 2021 ABC Advisers, Inc., made application for registration as a broker-dealer with a state. Absent a denial or stop order, registration will become effective

Except as limited by the Securities Exchange Act of 1934, the state securities Administrator may require, by rule or order, that broker-dealers make or maintain all of the following records except