This chapter covers 5% of the Series 63 exam (approximately 3 questions).
What You'll Learn
| Unit | Topic | Key Concepts |
|---|---|---|
| 1 | Definition of an Investment Adviser Representative | IAR definition, registration and post-registration, Form U4, exams and waivers, the de minimis exemption |
Why This Chapter Matters
An IAR is an individual; the adviser is the firm. The exam repeatedly tests that split, and the place-of-business rule that decides when an IAR of a federal covered adviser must still register with the state.
Exam Strategy
At 5% of the exam, this chapter produces about 3 questions. Focus on:
- IARs register with the state, never the SEC, whatever the firm's registration
- Automatic registration is narrow: only partners, officers, and directors of the adviser
- De minimis and the professional-designation waiver apply to IARs, not to agents
- A federal covered adviser's IAR registers where it has a place of business
-> Start Unit 1: Definition of an Investment Adviser Representative