Series 65 – Uniform Investment Adviser Law Exam Uniform Securities Act and State Regulations

Question 1

Under the Uniform Securities Act, who is defined as an 'investment adviser representative' (IAR)?

Accepted Answer

A person who is supervised by an investment adviser and makes investment recommendations or manages client accounts

Answer

An IAR is an individual associated with a registered investment adviser who provides investment advice, manages client portfolios, or solicits advisory clients.

Question 2

What is the typical notice filing requirement for a federally covered investment adviser in a state?

Accepted Answer

Filing a copy of Form ADV and paying a state fee, but not full state registration

Answer

Federally covered advisers (SEC-registered) must file a notice with each state where they have a place of business, typically submitting Form ADV and paying a fee, rather than registering as a state adviser.

Question 3

Under the Uniform Securities Act, which of the following is NOT exempt from the definition of a broker-dealer?

Accepted Answer

A firm that regularly buys and sells securities for its own account with the public

Answer

A firm that regularly buys and sells securities with the public for its own account as a dealer is not exempt from broker-dealer registration requirements.

Question 4

What authority does a state securities administrator have under the Uniform Securities Act?

Accepted Answer

The authority to register securities, advisers, and broker-dealers, investigate violations, issue cease-and-desist orders, and seek civil and criminal penalties

Answer

State administrators have broad authority including registration oversight, investigation of fraud and violations, administrative penalties, and referral of cases for civil or criminal action.

Question 5

Which of the following securities is exempt from registration under the Uniform Securities Act?

Accepted Answer

U.S. government securities

Answer

U.S. government securities are exempt from registration under the Uniform Securities Act because they are issued by the federal government and subject to federal oversight.

Series 65 – Uniform Investment Adviser Law Exam Practice Test

Series 65 – Uniform Investment Adviser Law Exam Practice Test

Series 65 – Uniform Investment Adviser Law Exam Uniform Securities Act and State Regulations