Ask Question
BusinessBusiness
9 October, 19:44

Paul works as a registered representative for Broker-Dealer X and also works as a financial planner under Broker-Dealer X's control. Paul's only source of compensation are commissions for trades that are executed. According to the Investment Advisers Act:

Paul must be registered as an investment adviserBroker-Dealer Y must be registered as an investment adviserPaul does not need to be registered as an investment adviserNeither Paul nor Broker-Dealer Y requires registration as an investment adviser

+4
Answers (1)
  1. 9 October, 21:12
    0
    Answer: Paul must be registered as an investment adviser

    Explanation:

    The Investment Adviser's Act of 1940 defines an Investment adviser as someone who provides advice on securities and gets compensation from doing so.

    Because Paul gets commissions for trades executed, he has to be a registered adviser. The only factor that would exempt him from registration is if the advice he offers clients is solely incidental to a different job role and he DOES NOT receive any compensation.

    Even teachers, accountants and lawyers who receive compensation based on the advice they give regarding the securities market have to be registered investment advisers.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Paul works as a registered representative for Broker-Dealer X and also works as a financial planner under Broker-Dealer X's control. Paul's ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
1. Classify the following manufacturing costs of Business Solutions as (a) variable or fixed and (b) direct or indirect. 2. Prepare a schedule of cost of goods manufactured for Business Solutions for the month ended January 31, 2020.
Answers (1)
Which of the following activities does an effective team do? A. Operate without leaders B. Discourage note-taking at meetings C. Hold members accountable D. Leave planning up to management
Answers (2)
Which investment has the least liquidity?
Answers (1)
The reason that the local telephone company is able to engage in price discrimination between business and residential customers in providing local phone service is
Answers (1)
Which of the fallowing jobs duties would a software developer perform? A. Developing a product that is easy to use and melts a customer's need. B. Establishing security procedures to protect important information. C. Managing and security data. D.
Answers (2)
New Questions in Business
Recently, the spot market price of U. S. hot rolled steel plummeted to $400 per ton. Just one year ago, this same ton of steel cost $700.
Answers (1)
What was the main cash crop, or crop grown primarily for market, in Virginia and Maryland, and to a lesser extent North Carolina? a. cotton c. indigo b. rice d. tobacco
Answers (1)
In 2002, a Swedish home electrical appliance manufacturer decided to use the same advertising message wherever it advertised around the world. In other words, the company decided to use which kind of advertising?
Answers (1)
Which one of the following will increase the present value of a lump sum future amount to be received in 15 years?
Answers (1)
One of the reasons that organized crime has been around so long is that it provides goods and services that society wants. True / False.
Answers (1)
Home » Business » Paul works as a registered representative for Broker-Dealer X and also works as a financial planner under Broker-Dealer X's control. Paul's only source of compensation are commissions for trades that are executed.
Sign Up Forgot Password?