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Series 63: Regulation of Broker-Dealers & Agents
Series 63 practice questioneasyDistinction: Agent vs. Associated Person

Which of the following individuals employed by a broker-dealer is LEAST likely to be required to register as an agent under the USA?

  1. AA sales assistant who accepts unsolicited customer orders.
  2. BA back-office operations clerk who processes trades but does not communicate with clients.✓ Correct answer
  3. CA research analyst who occasionally presents investment recommendations directly to clients.
  4. DA branch manager who supervises registered representatives and occasionally accepts orders.
Explanation

Why BA back-office operations clerk who processes trades but does not communicate with clients.

Only those who effect transactions or accept orders must register as agents (Sec. 401(c)). Back-office staff with no client contact are not agents. The others engage in activities that trigger registration.

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