Series 63 practice questionhardAdministrator Powers — Cancellation vs. Revocation
On a final review set, the question is presented in this context. Treat the facts as a straight Series 63 application question. An investment adviser registered in a state fails to respond to any communications and cannot be located at the address on file. The Administrator should:
- ACancel the registration due to the registrant's inability to be located✓ Correct answer
- BIssue a cease and desist order
- CRevoke the registration as punishment for noncompliance
- DSuspend the registration for 30 days pending investigation
Explanation
Why A — Cancel the registration due to the registrant's inability to be located
Under USA Section 204(b), the Administrator may cancel a registration if the registrant no longer exists, has ceased to do business, or cannot be located. Cancellation is non-punitive and differs from revocation, which is a disciplinary action taken as a penalty for wrongdoing. The exam trick is the framing, not the underlying Uniform Securities Act rule.
Turn it into reps
Reading one answer is not the same as being ready
Lucky the Banker is a free practice app with 646+ Series 63 questions, weak-area tracking, and timed mock exams. No credit card, no paywall.
Related Remedies & Administrative Provisions questions
- During a registration workshop, the instructor adds this setup first. Treat the facts as a straight Series 63…
- In a remedial practice session, the fact pattern is framed this way. Treat the facts as a straight Series 63…
- For a licensing checkpoint quiz, treat the following as the opening fact pattern. Treat the facts as a straight Series…
- A training manager asks you to analyze the following USA issue. Treat the facts as a straight Series 63 application…