FINRA Uniform Securities State Law Examination Series 63 Exam Questions in PDF

Free FINRA Series 63 Dumps Questions (page: 3)

“Federal covered securities” were defined and exempted from state registration requirements by the:

  1. National Securities Markets Improvement Act of 1996 (NSMI)
  2. Gramm-Leach-Bliley Act of 1999 (GLBA.)
  3. Uniform Securities Act (USA.)
  4. National Conference of Commissioners on Uniform State Laws (NCCUSL.)

Answer(s): A

Explanation:

The National Securities Markets Improvement Act of 1996 defined “federal covered securities” and exempted them from state registration requirements. The Gramm-Leach-Bliley Act focused on financial institutions and provided for their registration as broker-dealers under certain conditions. The National Conference of Commissioners on Uniform State Laws (NCCUSL) is the organization that drafted the Uniform Securities Act, which is not comprised of actual laws itself, but is, instead, just a guideline for each state to use when formulating its own securities laws.



Rich Quick is a broker-dealer licensed in the state of Massachusetts and has offices only within the state. Two of Rich Quick’s clients regularly vacation in Florida during the winter months, and Rich Quick executes trades for them when they call him from out-of-state.

Based on these facts,

I) Rich Quick needs to register as a broker-dealer in the state of Florida as well.
II) Rich Quick needs to register only as an agent in the state of Florida.
III) Rich Quick needs to establish an office in the state of Florida in order to transact business.
IV) Rich Quick need not register in Florida.

  1. Statements I and III are true.
  2. Statements II and III are true.
  3. Only Statement I is true.
  4. Only Statement IV is true.

Answer(s): D

Explanation:

Based on the facts provided, Rich Quick need not register in Florida since he has no offices in the state of Florida, and he is conducting business for existing clients who are merely vacationing in Florida and are not residents of the state.



Most individual state securities laws today are based on:

  1. the Uniform Securities Act of 1956.
  2. the Uniform Securities Act of 2002.
  3. the National Securities Markets Improvement Act of 1996.
  4. the Gramm-Leach-Bliley Act of 1999.

Answer(s): A

Explanation:

Most individual state securities laws continue to be based on the 1956 Uniform Securities Act. Although the Uniform Securities Act was revised in 1985, 1988, and 2002, none of these revisions have been widely incorporated by the individual states. The National Securities Markets Improvement Act of 1996 dealt mainly with the definition of federal covered securities and more efficient management of mutual funds. The focus of the Gramm-Leach-Bliley Act of 1999 was on financial institutions.



BigCash Broker-Dealers is registered in the state and is in the process of purchasing a smaller broker-dealer, Target Investments, as a subsidiary. Target Investments is also registered in the state.

After completing the purchase, what actions must BigCash take regarding registration of its new subsidiary?

  1. BigCash need do nothing since Target Investments was already duly registered with the state as a broker- dealer.
  2. BigCash must file a new application with the state to register its new subsidiary, but will be able to utilize the remainder of any annual filing fees that Target Investments had paid for the year.
  3. BigCash must file a new application with the state to register its new subsidiary and must also pay the annual filing fees required by the Administrator.
  4. BigCash will need to pay the annual filing fees required by the Administrator, but will not need to file a new registration application.

Answer(s): B

Explanation:

After completing the purchase, BigCash will have to file a new registration application for its new subsidiary, but BigCash can utilize the remainder of any annual filing fees that Target Investments had paid for the year. Although registration applications are never transferable, annual filing fees are.



In order to maintain its registration with a state, a broker-dealer may be required to:

I) take a written or oral exam.
II) pay an annual filing fee.
III) maintain a minimum net capital.
IV) file all advertising material with the Administrator.

  1. I and II only
  2. II and III only
  3. II, III, and IV only
  4. I, II, III, and IV

Answer(s): D

Explanation:

In order to maintain its registration with a state, a broker-dealer may be required to take a written or oral exam, pay an annual filing fee, maintain a minimum net capital, and file all advertising material with the state’s Administrator. The Administrator of each state has the authority to determine the specific requirements for the state. All of the selections are within the realm of the Administrator’s jurisdiction.



Once a broker-dealer has applied for and been granted state registration, the registration remains valid

  1. until December 31st.
  2. for twelve months.
  3. for three years.
  4. for five years.

Answer(s): A

Explanation:

Once a broker-dealer has been granted state registration, that registration is valid until December 31st of that year. Registration automatically terminates annually on December 31st although an Administrator may elect to revoke or suspend a broker-dealer’s registration at any time if the Administrator finds just cause.



A broker-dealer is required to keep his records for how long?

  1. at least three years
  2. at least five years
  3. at least seven years
  4. broker-dealer is required to keep his records for as long as he is registered in the state.

Answer(s): A

Explanation:

A broker dealer is required to keep his records at least three years.



Which of the following entities would be required to register with the state as a broker-dealer under the guidelines of the Uniform Securities Act (USA)?

  1. an underwriter with no offices in the state that is helping a firm that is incorporated within the state with the sale of its new bond issue to insurance companies.
  2. a credit union that operates within the state and provides loans to its members.
  3. an agent who executes the purchase and sale of stocks and bonds for his clients.
  4. None of the above entities would be required to register with the state as a broker-dealer under the guidelines of the Uniform Securities Act.

Answer(s): D

Explanation:

Under the guidelines of the USA, none of the entities described in Selections A, B, or C would be required to register with the state as a broker-dealer since the term, as defined by the USA, does not include agents, savings institutions, or entities with no offices in the state who deal exclusively with issuers and/or other broker-dealers, financial institutions, insurance companies, pension funds, or insurance companies.
Selections B and C refer to a financial institution and an agent, respectively. In the scenario described in

Selection A, the underwriter has no offices in the state and is dealing exclusively with the issuer of the bonds and insurance companies.



Share your comments for FINRA Series 63 exam with other users:

H
him
9/30/2023 2:38:00 AM

great about shared quiz

S
San
11/14/2023 12:46:00 AM

goood helping

W
Wang
6/9/2022 10:05:00 PM

pay attention to questions. they are very tricky. i waould say about 80 to 85% of the questions are in this exam dump.

M
Mary
5/16/2023 4:50:00 AM

wish you would allow more free questions

T
thomas
9/12/2023 4:28:00 AM

great simulation

S
Sandhya
12/9/2023 12:57:00 AM

very g inood

A
Agathenta
12/16/2023 1:36:00 PM

q35 should be a

M
MD. SAIFUL ISLAM
6/22/2023 5:21:00 AM

sap c_ts450_2021

S
Satya
7/24/2023 3:18:00 AM

nice questions

S
sk
5/13/2023 2:10:00 AM

ecellent materil for unserstanding

G
Gerard
6/29/2023 11:14:00 AM

good so far

L
Limbo
10/9/2023 3:08:00 AM

this is way too informative

T
Tejasree
8/26/2023 1:46:00 AM

very helpfull

Y
Yolostar Again
10/12/2023 3:02:00 PM

q.189 - answers are incorrect.

S
Shikha Bakra
9/10/2023 5:16:00 PM

awesome job in getting these questions

K
Kevin
10/20/2023 2:01:00 AM

i cant find aws certified practitioner clf-c01 exam in aws website but i found aws certified practitioner clf-c02 exam. can everyone please verify the difference between the two clf-c01 and clf-c02? thank you

D
D Mario
6/19/2023 10:38:00 PM

grazie mille. i got a satisfactory mark in my exam test today because of this exam dumps. sorry for my english.

B
Bharat Kumar Saraf
10/31/2023 4:36:00 AM

some of the answers are incorrect. need to be reviewed.

J
JP
7/13/2023 12:21:00 PM

so far so good

K
Kiky V
8/8/2023 6:32:00 PM

i am really liking it

T
trying
7/28/2023 12:37:00 PM

thanks good stuff

E
exampei
10/4/2023 2:40:00 PM

need dump c_tadm_23

E
Eman Sawalha
6/10/2023 6:18:00 AM

next time i will write a full review

J
johnpaul
11/15/2023 7:55:00 AM

first time using this site

O
omiornil@gmail.com
7/25/2023 9:36:00 AM

please sent me oracle 1z0-1105-22 pdf

J
John
8/29/2023 8:59:00 PM

very helpful

K
Kvana
9/28/2023 12:08:00 PM

good info about oml

C
Checo Lee
7/3/2023 5:45:00 PM

very useful to practice

D
dixitdnoh@gmail.com
8/27/2023 2:58:00 PM

this website is very helpful.

S
Sanjay
8/14/2023 8:07:00 AM

good content

B
Blessious Phiri
8/12/2023 2:19:00 PM

so challenging

P
PAYAL
10/17/2023 7:14:00 AM

17 should be d ,for morequery its scale out

K
Karthik
10/12/2023 10:51:00 AM

nice question

G
Godmode
5/7/2023 10:52:00 AM

yes.

AI Tutor 👋 I’m here to help!