Series 63 practice questionmediumSecurity vs. Non-Security
Which of the following types of contracts is considered a security under the Uniform Securities Act?
- AVariable annuity✓ Correct answer
- BFixed indexed annuity
- CWhole life insurance
- DTerm life insurance
Explanation
Why A — Variable annuity
Variable annuities are treated as securities because of the investment risk and potential for variable returns. Fixed and term insurance products are excluded under Section 401(l).
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