SIE practice questionhardRegulation S
Under Regulation S, which statement is true regarding the sale of securities?
- AThey are subject to Reg T margin requirements at issuance
- BThey must be offered only to accredited investors in the U.S.
- CThey can be offered to non-U.S. residents without SEC registration✓ Correct answer
- DThey can be offered in the U.S. without restrictions
Explanation
Why C — They can be offered to non-U.S. residents without SEC registration
Regulation S allows U.S. issuers to offer securities outside the U.S. to non-U.S. residents without SEC registration. Reg D covers accredited investors. Margin rules are unrelated. Unrestricted U.S. offerings require registration.
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