SIE practice questionmediumRegulation D – Private Placements
A small business raises capital by selling securities to a group of accredited investors without registering with the SEC. Which regulation allows this?
- ARegulation S
- BRegulation D✓ Correct answer
- CRegulation A+
- DRule 144
Explanation
Why B — Regulation D
Regulation D covers private placements to accredited investors. Regulation S is for offshore offerings, Reg A+ allows small public offerings, and Rule 144 governs resale of restricted securities.
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