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Series 63: Regulation of Investment Advisers
Series 63 practice questionhardTricky Scenarios—Compensation and Exclusion

Which of the following is LEAST likely to be considered an investment adviser under the Uniform Securities Act?

  1. AA publisher offering specific recommendations to individual subscribers for a monthly fee.
  2. BAn attorney offering asset allocation advice as part of estate planning services, with no additional fee for the advice.✓ Correct answer
  3. CA financial planner who charges clients one fee covering both planning and brokerage services.
  4. DA bank affiliate giving investment advice for a fee to high-net-worth individuals.
Explanation

Why BAn attorney offering asset allocation advice as part of estate planning services, with no additional fee for the advice.

Legal professionals who provide investment advice incidentally, with no separate fee, are excluded (USA §401(c)). A, C, and D all involve direct or bundled compensation for advice and do not fit the exclusion.

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