Series 63 practice questionmediumLATE Exclusion – Scope
Which of the following scenarios would NOT qualify for the LATE exclusion under the USA?
- AAn accountant who charges a separate fee for ongoing investment advisory services.✓ Correct answer
- BA teacher occasionally providing incidental investment opinions during a lecture.
- CA lawyer responding to a client's investment-related tax question.
- DAn engineer providing incidental advice on employer stock options.
Explanation
Why A — An accountant who charges a separate fee for ongoing investment advisory services.
Charging a separate fee for ongoing advisory services is not incidental to the practice of accounting and does not qualify for the LATE exclusion (Section 401(c)). The other scenarios are incidental to the professional's primary service.
Turn it into reps
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.
Spot an error in this question or explanation? Tell us — we fix these fast.
Related Regulation of Investment Advisers questions
- An adviser located in State Z provides advice to 12 clients, all residents of State Z, and 1 client who just moved to…
- A broker-dealer in State Y charges an annual wrap fee for providing investment advice and trade execution to retail…
- Under the USA, an investment adviser with no place of business in State A is exempt from registration if the adviser's…
- An adviser whose only clients are insurance companies is:
- A newsletter publisher bases advice on the specific securities positions of each subscriber. Under the USA, which best…
- Federal covered advisers must register with the SEC. Under the USA, which of the following statements is TRUE regarding…
- Which of the following may a state require of a federal covered adviser under the USA?
- Under the USA, which of the following is NOT considered an investment adviser?