Laws & RegulationsQuestion 100 of 110

A federal covered adviser doing business in a state is generally subject to which state requirement?

a.Full state registration and examination by the Administrator
b.No state involvement of any kind
c.State approval of its advisory contracts before use
d.A notice filing and payment of applicable fees, plus state antifraud jurisdiction

Explanation

A federal covered adviser, registered with the SEC, is not subject to duplicative state registration, but a state may require a notice filing and fees and still enforce its antifraud provisions. This preserves federal-state coordination under the National Securities Markets Improvement Act framework. States cannot impose full registration on federal covered advisers.

Law Reference: Uniform Securities Act

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