Series 63 practice questionmediumExclusions from Security Definition
Under USA Section 401(l), which of the following is NOT a security?
- AA variable life insurance policy
- BA fixed annuity contract✓ Correct answer
- CAn interest in a limited partnership
- DA stock in a non-public company
Explanation
Why B — A fixed annuity contract
Fixed annuity contracts are specifically excluded from the definition of a security. Variable products, limited partnership interests, and stocks are all considered securities.
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