Series 66 – Practice Test 3

Your firm has been hired to manage the assets of a fund whose principal objective in moderate growth.  Which of the following would be of greatest concern in your stock selection criteria?

An Administrator would be within their rights to deny a registration to a broker-dealer:

Which of these methods would best serve to mitigate non-systematic risk in building and managing a portfolio?

An investment adviser representative should discuss portfolio re-balancing with clients:

When as and if material changes have occurred which require notification to the Administrator under the USA, the notification is required:

One of your client’s has been hospitalized and is currently in a coma. Over the years they have made it a regular practice to gift securities to their several children.  The client’s son contacts you and asks that this practice of gift giving continue.  You would:

In accordance with the Uniform Securities Act, an agent could be subject to civil liability under which of the following circumstances?

1. The agent solicited the sale of an unregistered non-exempt security
2. The agent made a sales presentation which omitted one or more facts considered material
3. Was named as part of a civil action against their sponsoring B/D
4. Told a client that the rate of return on a fixed annuity was guaranteed.

The Dodd-Frank Wall Street Reform Act:

Among the many benefits of forming a business enterprise as a general partnership, one would exclude:

A primary difference between an LLC and an LP business structure lies in the