Accredited investor - Study guides, Class notes & Summaries

Conduct and Practices Handbook (CPH) Exam 136 Questions with Answers Duty of care - CORRECT ANSWER This refers to obligation #3 of registered representative (RR) about acting honestly, in good faith, and in a professional manner. This is a requirement to provide advice to clients with those attributes in mind along with the proper skills and knowledge to do so. It is important to note that the standard of care provided is not a standard of perfection. RRs are usually held to this standard muc...

Securities Industry Essentials Standard Comprehensive Exam () || With Questions & All Accurate Answers (Graded +) Securities Industry Essentials Standard Comprehensive Exam () || With Questions & All Accurate Answers (Graded +) Investment bankers assist businesses that seek to raise capital through - ANSWER - the issuance of securities The research department of a broker-dealer studies both the markets and - ANSWER - individual issuers in order to issue recommendations The trading dep...

Form U4 correct answers When registering with a broker-dealer, all RRs are required to complete this Uniform Application for Securities Industry Registration which discloses: 10-year employment history Any felony convictions, convictions for securities-related misdemeanors, or actions taken by a U.S. or foreign securities regulator that have occurred within the past 10 years − All of these make a person subject to Statutory Disqualification or SD By signing Form U4, a registered perso...

FBLA Securities and Investments Exam with Complete Solutions (All Correct) Tested and Graded A+ private placement - Answer- an exempt transaction under Reg D (Rule 506) of the Securities Act of 1933, allowing issuers to sell securities without registration to accredited investors, who agree to hold them fully paid 1 year before then selling them through Rule 144 purchaser representative - Answer- someone independent of the issuer in a private placement who can represent the needs of a non-ac...

May a brokerage firm place a temporary hold on a securities transaction? - Correct Answer-No, since this is beyond the scope of the SRO rules Which of the following is NOT included in a list of institutional investors? - Correct Answer-an accredited investor Included: a hedge fund, a public pension plan, an insurance company A registered representative has requested a loan from an immediate family member who is also a customer of the broker-dealer that employs the RR. Which of the followi...

Series 7 Exam Vocab (A-I) Marking Scheme Accredited Investor ANSWER To qualify as an accredited investor for a Regulation D Private Placement, an investor must be either: an affiliate of the issuer, a financial institution or an individual with $1mm net worth or $200k annual income. An investor not meeting one of these tests is considered Nonaccredited Accretion ANSWER A method of adjusting a taxpayer's cost basis of a bond bought at an original issue discount. The annual accretion is tre...

PRE14A (preliminary proxy) correct answers must be filed with the SEC at least 10 calendar days prior to filing a definitive proxy with the SEC (DEF 14A) Preliminary proxies can be kept from public disclosure until they become definitive, but only if they adhere to certain rules. They must be marked confidential and public communication must have been limited to a basic Rule 135 announcement. Confidentiality is not allowed in going private and rollup transactions. DEF 14A (definitive proxy) ...

-pro forma balance sheet - -shows how a firms activities will affect its ability to meet its short term liabilities and how its finances will evolve over time 10 K - -filing similar to annual report but more complex 6 step process for obtaining a patent - 1. Make sure the invention is practical 2. Determine the type of application to file 3. Hire a patent attorney 4. Conduct a patent search 5. File a patent application 6. Obtain decision from U.S. Patent and Trademark Office 7(A) Loan G...

Series 24 Question and answers already passed 2024/2025 Series 24 - 1(B) A Florida investor purchases securities under a Rule 147 offering. After six months he may: A) Only sell the shares to a customer who a resident of the state B) Sell the shares to out-of-state customers C) Only sell the shares to an accredited investor D) Only sell the shares to a QIB - correct answer B) Sell the shares to out-of-state customers EC Rule 147 covers an exemption from registration for the sale of se...

A married couple who earn over 300,000 currently as well as prior two years - Correct Answer- Accredited Investor Which of responses describes an advantage of index funds - Correct Answer-The protection of principal during bearish markets Under a system of statutory voting, a common stockholder has as many votes for each vacancy on the board of directors as the number of: - Correct Answer-proxies available for voting by the board Which security types provides investors with a stated matur...