1 Flashcards
Under Hart-Scott-Rodino, the waiting period, after filing premerger notification ifo with the FTC, is
30 days
What are the hours of operation for TRACE
8:00 am until 6:30 pm
if securities delivered in an interdealer trade are refused by the transfer agent, the time frame for reclamation, Uniform Practice rules, is
30 months from delivery date
which of the following must be reported to OATS when a reporting member executes an order
1) the number of shares executed, 2) the date and time of execution, 3) the number of shares not executed, 4) the reporting memeber’s ACT indentification
the SEC is empowered to suspend trading on any national securites exchange for up to how many calendar days?
90
Under the Bank Secrecy Act, what amount of a deposit must be reported
deposits over 10,000 - CTR - currency transaction report
Acustomer order ticket must be endorsed by a principal…
promplty after execution
what are the minimum quotation sizes for the OTCBB
for a priced quote between $1.01 and $10.00, the minimum quote size is 500 shares. for a priced quote between 10.01 and 100.00 minimum display size is 200 shares
Under SEC Rules, a seasoned issuer must have a public float value of at least…
75 million
As long as the issuer is current with regard to its regulatory filings, a nonaffiliated investor, under Rule 144, may freely sell unregistered shares after a holding period of…
6 months
Under SEC rules, the haircut on a thinly traded, non-Nasdaq stock is…
40%
The Sarbanes-Oxley Act of 2002 deals with what three issues
1) internal control assessment. 2) auditor independence. 3) coporate conflicts of interest
What three things must be included on a customer’s order ticket?
1) buy, sell long, or sell short. 2) solicited or unsolicited. 3) time of execution
trades in high-yield bonds are reported through…
TRACE
Trades in Covertible bonds, CSQ securities and bulleting board equities are reported to…
ACT
The letter of intent in a corporate underwirting is typically signed by what two parties?
1 - Issuer & 2 - Mamanging underwriter
If a member firm erminates it’s independent accounting firm, the SEC and the SRO must be notified with in how many days
15 business days
In an active competitive market the prevailing market price for determining the markdown and the markup are…
markup - lowest offer Markdown - highest bid
The Manning Rule applies to…
Limit orders, the Manning Rule is the limit order protection rule
When the number os shares in a stock dividend or stock split represents a 25% or more increase, the ex-date is…
1 business day after the payable date
The buying power in a day-trading account is…
4 x maintenance margin excess
The Special Reserve Bank Account is used to comply with
SEC Rule 15c3-3
Rule 504 involves the sale os securities in which the dollar amount does not exceed what?
1,000,000
Rule 504, 505 or 506 has the following: no limitations on the number os accredited or nonaccredited investors, no requirement that purchasers meet suitability standards and no restrictions on solicitation or advertising
504
Nasdaq-listed convertible bonds and capital market stocks are reported to…
ACT
Under the USA Patriot Act, firms must make records relating to wire transfers of
$3,000 or more
All trades must be reported to ACT within…
30 seconds of execution
Representations obtained to determine the eligibility of an account to purchase a new equity issue must be retained for how long?
3 years
Allowable capital includes what?
Net Worth (common stock plus retained earnings) and subordinated loans (including secured demand notes)
What documents must contain the legend subject to completion?
Red Herring
when must form 147 be filed with the SEC
at least 10 business days prior to the effective date
Most money laundering regulations are written by which 2 regulators?
The US department of Treasury and the Federal Reserve Board
Form 3, attesting to the ownership of the common stock of an issuer, must be filed with the SEC within how many days of becoming an officer or director of that issue?
10 days
A member firm may trade alongside a retail customer limit order if the order is in which 2 amounts?
10,000 shares or more AND a value os 100,000 or more
Form 8-k must be filed by? and with how many days?
registered domestic issuers within 4 days
forward looking statements may be used in preliminary and final prospectuses…true or false
true
Under rule 103, application for acting as a passive market maker must be made when?
1 busines day before the restricted period
Under NASD rule 2510, a retail not held order, in the absence of instructions to the contrary, considered a what?
day order
In a corporate underwriting, the syndicate letter is signed by whom?
managing underwriter and the syndicate members
What can a series 26 principal approve?
only retail communications for investment companies
WKSIs may pay filing fees at the time of filing or on a “pay as you go” basis…True or False
True
For standby purchasers to NOT be subject to FINRA rule 5130, what four things must be done?
1)the standby arrangement must be dislcosed int eh final prospectus. 2) the sydicate arrangement is in writing. 3) the securities are locked up for 3 months. and 4) the syndicate manager represents, in writing, that it was unable to find any other purchasers for the securities
the ex-date for a mutual fund registered with the SEC is set by who?
the board of directors of the fund
Nonsupervisory branch offices must be inspected when?
at least once every 3 years
A statutory underwriter is a term which refers to what?
the syndicate manager in a firm commitment offering
