Which of the following activities by a registered investment adviser in Illinois is MOST likely to result in being deemed to have custody, triggering both special recordkeeping and a surprise exam requirement?

1. AHaving password access to client accounts for trading only
2. BActing as a co-trustee with authority to move client funds✓ Correct answer
3. CReceiving client checks made payable to third-party mutual funds and forwarding them within 3 business days
4. DRebalancing client accounts at the client’s custodian via limited power of attorney

Reading one answer is not the same as being ready

Lucky the Banker is a free practice app with 1,051+ Series 63 questions, weak-area tracking, and timed mock exams. No credit card, no paywall.

• All of the following scenarios require prompt client notification or delivery of specific documents under the Uniform…
• An investment adviser discovers a material disciplinary event that makes its Form ADV disclosure inaccurate. When…
• A junior banker at William Blair discovers that the investment adviser’s digital client records are stored…
• Which of the following advisers is LEAST likely to be required to undergo a surprise custody examination?
• All of the following statements about an adviser's recordkeeping responsibilities under the Uniform Securities Act are…
• Under the current Form ADV Part 2 instructions, what must an investment adviser generally deliver to each client within…
• Which brochure-delivery arrangement satisfies the standard NASAA advisory-contract rule?
• An investment adviser in Illinois is granted full discretion over a client’s account but instructs the custodian to…