Under the 2002 Uniform Securities Act, registration by coordination allows:

A. federal covered securities to be registered simultaneously with the SEC and with the states in which the securities will be offered for sale.

B. securities that do not fall within the category of federal covered securities to be registered simultaneously with the SEC and with the states in which the securities will be offered for sale.

C. both state-registered and out-of-state investment bankers to participate in the underwriting and registration of a new security issue.

D. issuers of federal covered securities to submit only a notice filing with the Administrator of states in which the securities will be offered for sale.

Which of the following statements regarding "registration by qualification" is true?

A. Registration by qualification refers to the fact that certain categories of securities are exempt from state registration requirements.

B. Registration by qualification is the preferred method used by issuers since it requires the least amount of paperwork.

C. In its simplest form, registration by qualification requires the issuer to supply voluminous amounts of information about both the firm and its directors, officers, and major shareholders.

D. Registration by qualification refers to the fact that the highest quality bonds, i.e., those with a AAA rating, are exempt from registration with the state.

Switch Advisory is a small investment adviser partnership registered in a single state. A larger investment adviser firm, Bait Investment Adviser, is registered in the same state as well as two other states. Bait has offered to buy out three of Switch's partners who want to retire. This will give Bait a 60% ownership in Switch Advisory.

Which of the following statements are true?

I. Switch Advisory must obtain the approval of its clients before the partners can sell their interests to Bait.

II. Switch Advisory must notify the state Administrator of this event.

III. Switch Advisory must notify their clients of this event, but does not need the clients' approval.

IV.

Switch Advisory must notify the SEC of this event.

A.

I only

B.

I and II only

C.

II, III, and IV only

D.

I, II, and IV only

You execute a stock transaction for a client on Thursday, September 23rd. The settlement date on the order ticket will be

A. Thursday, September 23rd.

B. Monday, September 27th.

C. Friday, September 24th.

D. Tuesday, September 28th.

Ms. Connie Fused sent her investment adviser a check, payable to a mutual fund that he had recommended to her.

What must the adviser do in order to avoid being considered the custodian of this account and, thereby, subject to some strict requirements, including a higher minimum net capital?

A. He needs to forward the check to the mutual fund within 3 days.

B. He needs to forward the check to the mutual fund within 24 hours.

C. He needs to get a written statement from Ms. Fused, addressed to the state Administrator, indicating it was her mistake.

D. He needs both to forward the check within 24 hours and to obtain a written statement from Ms. Fused.