exam questions

Exam Series 63 All Questions

View all questions & answers for the Series 63 exam

Exam Series 63 topic 1 question 183 discussion

Actual exam question from FINRA's Series 63
Question #: 183
Topic #: 1
[All Series 63 Questions]

Which of the following are accurate statements regarding the minimum financial requirements for investment advisers according to the NASAA Model Rules?
I. Any investment adviser who has discretionary authority over a client's assets, but who does not have actual custody of client funds or securities, is required to maintain a minimum net worth of $10,000 at all times.
II. An investment adviser who requires that a fee of more than $500 from his clients be paid six months or more in advance must maintain a positive net worth at all times.
III. Only an investment adviser who has actual custody of client assets is subject to a minimum net worth requirement, which the NASAA Model Rules specifies is
$10,000.

  • A. I only
  • B. I and II only
  • C. II and III only
  • D. III only
Show Suggested Answer Hide Answer
Suggested Answer: B 🗳️
Only Selections I and II are accurate statements of the NASAA Model Rules regarding minimum financial requirements for investment advisers. The
NASAA rules stipulate that an adviser who has only discretionary authority, but does not take custody of a client's assets, must maintain a minimum net worth of
$10,000 at all times. Furthermore, any investment adviser who requires a fee of more than $500 from his clients to be paid six months or more in advance must maintain a positive net worth at all times.

Comments

Chosen Answer:
This is a voting comment (?). It is better to Upvote an existing comment if you don't have anything to add.
Switch to a voting comment New
Lehj
4 years, 9 months ago
For II, the excess of $1,200 (formerly $500)
upvoted 1 times
...
Community vote distribution
A (35%)
C (25%)
B (20%)
Other
Most Voted
A voting comment increases the vote count for the chosen answer by one.

Upvoting a comment with a selected answer will also increase the vote count towards that answer by one. So if you see a comment that you already agree with, you can upvote it instead of posting a new comment.

SaveCancel
Loading ...
exam
Someone Bought Contributor Access for:
SY0-701
London, 1 minute ago