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SIE: Capital Markets & Offerings
SIE practice questionhardSecurities Act of 1933 Registration

A corporate issuer wants to raise capital in the U.S. public markets. Under the Securities Act of 1933, they must:

  1. ARegister only with FINRA
  2. BOpen accounts only for insiders
  3. CRegister the securities and provide a prospectus to investors✓ Correct answer
  4. DSeek a Regulation D exemption automatically
Explanation

Why CRegister the securities and provide a prospectus to investors

The 1933 Act requires registration and prospectus delivery for public offerings. Exemptions or insider-only sales are not standard for public offerings.

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