FINRA Series63 Q&A - in .pdf

  • Series63 pdf
  • Exam Code: Series63
  • Exam Name: Uniform Securities Agent State Law Examination
  • Updated: Sep 16, 2026
  • Q & A: 251 Questions and Answers
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FINRA Series63 Q&A - Testing Engine

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  • Exam Code: Series63
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FINRA Series63 Exam Syllabus Topics:

SectionObjectives
State Securities Acts and Regulations- Uniform Securities Act (USA) framework
- Registration of securities and exemptions
Ethical Practices and Fiduciary Responsibilities- Prohibited practices and fraud prevention
- Disclosure obligations and client protection
Regulation of Investment Advisers and Agents- Broker-dealer regulation and supervision
- Registration requirements for agents
Administrative Provisions and Enforcement- Recordkeeping and reporting requirements
- State enforcement powers and penalties

FINRA Uniform Securities Agent State Law Examination Sample Questions:

Question #1

Which of the following would meet the requirements for an "exempt security?"

  • A. commercial paper with a $200,000 face value and a maturity of three months that is rated BB by Standard and Poors
  • B. a $500,000 promissory note that matures in two years
  • C. a $25,000 promissory note that matures in three months
  • D. commercial paper with a $100,000 face value and a maturity of five months that is rated AA by Standard and Poors
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

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Question #2

"Federal covered securities" were defined and exempted from state registration requirements by the:

  • A. Gramm-Leach-Bliley Act of 1999 (GLBA.)
  • B. National Conference of Commissioners on Uniform State Laws (NCCUSL.)
  • C. National Securities Markets Improvement Act of 1996 (NSMIA.)
  • D. Uniform Securities Act (USA.)
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

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Question #3

You had the misfortune of working as a registered agent for an unscrupulous broker-dealer. You weren't privy to any of it, but apparently, your broker-dealer was guilty of some fraudulent activities and has had his license revoked. In this instance,

  • A. the state Administrator will assign you and any other affected agents to work for other broker-dealers registered with the state.
  • B. you must wait until the broker-dealer's day in court before you can work in the securities industry again because the Administrator will want to be certain that you knew nothing of it.
  • C. you can simply find another broker-dealer to hire you and have your license transferred to him.
  • D. you are no longer a licensed agent with the state and must reapply for a license in order to work for another broker-dealer.
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

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Question #4

Ken Con is an agent with Blue Sky Broker-Dealers. He gets up early each morning so that he can study any late-breaking news that may affect the markets and figure out ways to incorporate this news into conversations with select clients in order to pressure them to restructure their portfolios by selling holdings they have in one particular industry to invest the money in another particular industry.
Ken has been very successful with this strategy and executes more trades for his clients than any other agent with the firm, but is he in danger of losing his license?

  • A. No. Ken is just a successful sales person who is working harder than the other agents in the firm.
  • B. It depends. If his clients have lost money, Ken may lose his license; but if a review indicates that his clients' accounts earn profits, then his license is safe.
  • C. Yes. Ken is guilty of the prohibited practice of "tailgating."
  • D. Yes. Ken is engaging in churning, a prohibited practice and can have his license revoked or suspended.
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

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Question #5

You have recently discovered that a security you purchased has not been registered with the state, nor is it exempt from registration. You can file a civil claim against the seller as long as you do so within

  • A. five years.
  • B. two years from discovery or three years from the event, whichever comes first.
  • C. one year from discovery.
  • D. three years from discovery or five years from the event, whichever comes first.
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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