Investment Advisory Summary Comparison Flashcards
What are the following below describing?
- Banks, Savings & Loans Institutions, and Trust Companies
- Lawyers, Accountants, Teachers, Engineers (LATE) whose advise is incidental to their professions (not paid for their investment services)
- Broker-Dealer and Agents (not acting in advisory capacity)
- Newspapers, magazines, financial publications of regular or general circulation
- Investment Adviser Representatives (IAR’s)
- Federal Covered Advisers
- Employee Benefit Plans
What’s excluded from the definition of Investment Adviser under the Uniform Securities Act?
What are the following below describing?
- Banks
- Bank holding companies
- Lawyers, Accountants, Teachers, Engineers, (LATE) whose advice is incidental to their professions (not paid for their investment services)
- Broker-Dealer and Agents (not acting in advisory capacity)
- Newspapers, magazines, financial publications of regular or general circulation
- Person who gives advice on U.S. Government Securities only
What’s excluded from the definition of Investment Adviser under the Investment Advisers Act of 1940?
What are the following below describing?
- Persons who render advice to no more than 5 clients in a 12-month period or clients are certain institutions and have no place of business in their state
- Federal Covered Advisers
What are the exemptions from registering as an Investment Adviser under the Uniform Securities Act?
What are the following below describing?
- Persons whose client are all residents of the state, and the adviser does not furnish advice on listed securities
- Only client are insurance companies
- Adviser solely to one or more venture capital funds OR, they are an adviser solely to small private funds AND have AUM of less than $150 million
What are the exemptions from registering as an Investment Adviser under the Investment Advisers Act of 1940?
What are the following below describing?
- 3 years in jail and/or
- $5,000 fine
- 5-year statute of limitations
What are the criminal penalties under the Uniform Securities Act?
What are the following describing?
-5 years in jail and/or
- $10,000 fine
- 10-year statute of limitations
What are the criminal penalties under the Investment Advisers Act of 1940?
What are the record keeping requirements for Investment Advisers under the Uniform Securities Act? (Length of time)
Determined by the Administrator or Federal Law (5 years)
What are the record keeping requirements for Investment Advisers under the Investment Advisers Act of 1940? (Length of time)
5 years
True or False?
Under the Uniform Securities Act, when an Investment Adviser is acting as a Broker-Dealer, there needs to be written disclosure and implied consent.
True
True or False?
Under the Uniform Securities Act, when an Investment Adviser is acting as a Broker-Dealer, there needs to be both written disclosure and written consent.
False
True or False?
Under the Investment Advisers Act of 1940, when an Investment Advisor is acting as a Broker-Dealer, there needs to be both written disclosure and written consent.
True
True or False?
Under the Investment Adviser Act of 1940, when an Investment Adviser is acting as a Broker-Dealer, there needs to be written disclosure and implied consent.
False
True or False?
Under the Uniform Securities Act, a performance-based fee cannot be charged unless the Administrator allows it
True
True or False?
Under the Uniform Securities Act, a performance-based fee cannot be charged unless the client is a qualified client
False
True or False?
Under the Investment Advisers Act of 1940, a performance-based fee cannot be charged unless the client is a qualified client
True
