Regulations (7)

Question 1

Rule 144

Answer 1

*Resale limitations of restricted securities are lifted after the stock has been held & fully paid for 6 MONTHS!

*Seller also has to have been unaffiliated with issuer for 3 months

*Allows the sale of 1% of the issuer’s outstanding shares or the weekly average of the 4 preceding weeks trading volume (whichever is higher) to be sold every 90 days.

Question 2

Securities Exchange Act of 1934

Answer 2

Regulates trading of non-exempt securities
* Common stock
*Preferred stock
*Corporate bonds
* Options on securities

DOES NOT REGULATE futures/commodities

Question 3

Stabilization

Answer 3

Provision of the Securities Exchange Act 0f 1934

*Permitted at or below the public market price

Question 4

Private Placement

Answer 4

Offer exemption, no registration required.

100,000,000 Million

Question 5

SEC Rules

Answer 5

Trade Confirmation: held for 3 years
Customer accounts: Retained for 6 years

Question 6

Securities act of 1933

Answer 6

Registration of New Issues