Series 63 practice questionmediumExemption requirements
Which of the following is NOT a condition for the Canadian BD and agent exemption under the USA?
- AThe client is a resident of the state and opens a new account.✓ Correct answer
- BThe client is a Canadian resident with a pre-existing account.
- CThe BD makes required notice filings with the Administrator.
- DThe BD is a member of a Canadian SRO or stock exchange.
Explanation
Why A — The client is a resident of the state and opens a new account.
If the client is a resident of the state opening a new account, the exemption does not apply (USA 401(b)(3)). Options B, C, and D are all required elements of the exemption.
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