Series 63 practice questionmediumExempt Securities - NSMIA and Federal Covered Securities
Which security is federal covered specifically because it is listed on a national securities exchange?
- AA security listed on the NYSE✓ Correct answer
- BA security sold under Rule 504 of Regulation D
- CA municipal bond issued by a U.S. city
- DA bond issued by a nonprofit private college
Explanation
Why A — A security listed on the NYSE
A security listed on the NYSE is federal covered under Securities Act Section 18(b)(1). Municipal and nonprofit securities may be exempt under separate USA provisions, while Rule 504 does not by itself create federal-covered status.
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