Series 63 practice questionmediumAgent Registration Requirements
An agent in State T sells shares of a SEC-registered investment company to a resident of State T. Which of the following is TRUE?
- AThe agent must be registered in State T✓ Correct answer
- BThe agent does not need to be registered in State T
- CThe agent must register only with the SEC
- DThe agent may sell the shares without any registration
Explanation
Why A — The agent must be registered in State T
Agents must be registered in the state where they sell securities, even if the securities themselves are federal covered. Only the security, not the agent, is preempted from state registration.
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