Finra Exam Series-63 Topic 3 Question 12 Discussion

Actual exam question for Finra's Series-63 exam

Question #: 12
Topic #: 3

Which of the following does not necessarily have to be included in the contract between an investment adviser and an individual client, according to the Uniform Securities Act (USA)?

Athe compensation agreement, which cannot be a percentage of the capital gains or capital appreciation earned on the portfolio for all but the wealthiest of individual clients.

Ba statement stipulating that the contract cannot be assigned to another party without the client's consent

Cif the investment adviser is a partnership, a statement indicating that the client will be notified

Dif there is any change in the partners within a reasonable time perioda statement of the investment policy that has been agreed upon between the adviser and the client

Show Suggested Answer

Suggested Answer: D

A statement of the investment policy does not have to be included in the contract between an investment adviser and an individual client. The statement of investment policy is generally developed after the contract is signed.

by Kathrine at Jul 09, 2025, 09:14 PM

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Deeann

7 days ago

Hmm, I think the answer is B. The contract doesn't necessarily have to include a statement about consent for assignment to another party.

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