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← Series 63: Regulation of Broker-Dealers & Agents
Series 63 practice questionmediumBroker-Dealer Registration — Successor Firms

When a registered broker-dealer merges with another firm and creates a successor entity, the successor firm:

  1. AMay continue the predecessor's registration by filing a successor application within the statutory period✓ Correct answer
  2. BMust file a completely new registration application from scratch
  3. CMust wait 30 days before conducting any business
  4. DIs automatically registered for one year without any filing requirements
Explanation

Why A — May continue the predecessor's registration by filing a successor application within the statutory period

A successor broker-dealer may continue the predecessor's registration by filing an application for registration within the period specified by the Uniform Securities Act. The statute describes a successor application, not a mere amendment to the predecessor's filing, and it does not grant automatic one-year registration.

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