Series 79 practice questioneasyBroker-Dealer Registration
Which of the following is permitted to conduct securities transactions without registering as a broker-dealer under the Exchange Act?
- AAn individual who matches buyers and sellers for compensation
- BA company that executes trades for the public
- CAn investment adviser charging transaction-based fees
- DA bank engaging in exempted trust activities✓ Correct answer
Explanation
Why D — A bank engaging in exempted trust activities
Banks are exempt from broker-dealer registration when conducting certain trust activities. The trap is believing any entity matching trades can avoid registration, which is not the case.
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