Agent (9 Questions On Test)

Question 1

Clerical/administrative employees need not register as agents except

Answer 1

If they effect securities transactions with the public

*so if they accept or buy or sell orders over the phone, they much register

Question 2

Cold callers working for a BD would have to register as agents if

Answer 2

They did any more than ask if clients wanted to receive information.

• if they pre-qualified clients or suggested ways to receive $ for their stocks or bonds, they would have to register
• even interns receiving selling-related compensation (ex 10$ for each existing client solicited)

Question 3

5 exempt securities that excludes someone from the term agent

Answer 3

Any security issued by the United States, any state, political subdivisions, issued by Canada or any province

Any security issued by any foreign government with which we have diplomatic relations with

Any security issued by a bank,savings institutions, trust company

Commercial paper rated in top 3 categories by the major rating agencies with $50k or more maturing in 9 months or less

Investment contracts issued in connection with an employees stock purchase, savings, pensions, or profit sharing

Question 4

4 exempt transactions that exclude agent

Answer 4

Unsolicited brokerage transactions

Transaction between underwriters

Transactions w financial institutions

Offerings to a limited number of investors (private placements)