Series 63 practice questionmediumInvestment Company Adviser
An investment adviser manages a mutual fund registered under the Investment Company Act of 1940. Under the USA, the adviser's registration status is:
- AState registered
- BFederal covered adviser✓ Correct answer
- CNot required to register anywhere
- DDual registered (state and federal)
Explanation
Why B — Federal covered adviser
Advisers to registered investment companies are always federal covered (USA Sec. 102(6)). A is incorrect; C is incorrect as SEC registration is required, and D is not permitted.
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