sim July 6

which is the following is true regarding a registered person who wishes to move her registration from one broker dealer to another

In no circumstances can a registration be transferred from one firm to another. transferring a registration from one member firm to another is not permitted. should a person resign or be terminated the member firm must file a form U5 with the central registration depository within 30 days of termination date. A form U4 must then be filed by new employer with all the forms information requirements met.

All of the following are provisions offenders rules for holding mail for customers except

The firm must hold the customer's mail for up to 3 months if it receives notice and writing that it is for security reasons. there's no requirement that the firm to agree to hold the customer's mail, but if they do, the other three requirements would be in place.

The bid price represents

The price the broker dealer is willing to pay when buying securities, and the price a customer will receive when selling a security.

The securities act of 1933 requires all the following to be offered by prospectus except

Treasury bonds. Treasury securities are exempt from registration requirements and therefore do not require a perspectus.

in a real estate limited partnership the general partner has

unlimited liability and an active role. in limited partnerships, weather real estate or other types the general partner is the active partner managing the business and taking on unlimited liability.

an investor has purchased bonds having a pit feature attached. with this put feature, it is likely that these bonds were issued with

a lower coupon than similar bonds. without the feature.

any sale of securities outside an associated persons or the employing member firms regular business is recognized as.

a private securities transaction.

when the options clearing corporation receives a notice to exercise, it will assign that notice to

a short broker dealer. The exercise and assignment process is as follows. A long customer notifies its broker dealer. The long broker dealer notifies the OCC then assigns the short broker, who will then in turn assign its short customer.

a broker dealer has engaged in a reverse repo agreement. how was this done.

an initial purchase it's followed by a sale later at a higher price. the dealer agrees to buy securities from an investor and sell them back later at a higher price.

which odd the following issues only common stock

an open end management investment company. an open endometrial fund management investment company may only issue redeemable common stock. A unit investment trust offers units of beneficial ownership. A closed-end management investment company may also issue bonds and preferred stock, wealthy amount certificate companies offers a contract, as opposed to two units or shares.

which of the following must be signed by a customer wanting to open a margin account.

credit and hypothecation agreements. the loan consent form is optional. the risk disclosure document must be received and read by client but not signed.

the United States Congress has authorized all of the following enterprises to issue securities except

federal deposit insurance corporation. is set up to insure bank deposits not to issue securities.

bond holders should expect the interest payments would always be forthcoming for all of the following except

income bonds. income bonds pay interest only if earnings are sufficient and payments to be made are declared by board of directors.

a corporation enlists the services of a transfer agent, who would be expected to handle all of the following except..

register the corporations security with the state. transfer agent for a corporation is responsible for ensuring that it's securities are issued in the correct owner's name; canceling all certificates and issuing new ones; maintaining records of ownership; and handling problems related to lost stolen or destroyed certificates it is the registrar, a separate entity, who is responsible for registering the corporations securities with the state.

benefits of mutual funds include all of the following except.

reinvested dividends are not taxed until withdrawal.

The locate requirement is an element for which of the following transactions?

sell to open. when selling short, shares must be borrowed from the dealer. The dealer finding those shares that can be loaned to the seller is part of the locate requirement.

which of the following cell transactions is not subject to the holding period restriction specified in SEC rule 144

stuck acquired in the OTC market by corporate affiliate. The holding period rule applies only to unregistered stock, which may or may not be control stock. unregistered stock results from either private placements or the exercise of a corporate stock option. because this question asked which securities were not subject to rule 144 holding., only stock acquired in the OTC market by corporate affiliate is the correct answer however, the affiliated person is subject to volume restrictions.

which of the following best describes how a sell stop at 39 order would be filled.

the next available price after the market falls to 39.