RegistrationQuestion 25 of 100
A Canadian broker-dealer with no U.S. office wants to continue servicing the self-directed retirement accounts of Canadian clients who are temporarily living in a U.S. state. Under the NASAA model rule for Canadian firms, the broker-dealer:
a.May not deal with those clients at all while they are in the United States
b.Must obtain full broker-dealer registration in the state
c.Is completely exempt from all state requirements
d.May obtain a limited registration by filing an application, evidence of home-jurisdiction registration and good standing, and a consent to service of process
Explanation
The NASAA model rule creates a limited registration path for Canadian broker-dealers and their agents servicing Canadian clients temporarily present in the United States, primarily for self-directed tax-advantaged retirement accounts. The firm files an application, proof that it is registered and in good standing in its home jurisdiction, and a consent to service of process. It is neither barred from the business nor forced into full domestic registration, and it is not free of all state obligations.
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