Securities

NASAA (North American Securities Administrators Association)

NASAA is the organization representing state and provincial securities regulators in the US, Canada, and Mexico, responsible for investor protection and coordinating state securities laws.

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Exam Tip

NASAA = state regulators association. Creates Series 63/65/66 exam content. Blue Sky Laws = state securities laws!

What is NASAA?

NASAA (North American Securities Administrators Association) is the oldest international investor protection organization, representing state, provincial, and territorial securities regulators. It coordinates regulatory efforts across North America.

NASAA's Role

FunctionDescription
CoordinationHarmonize state securities laws
Model RulesDevelop uniform regulations
Investor EducationPublic awareness programs
Enforcement SupportCoordinate multi-state actions

NASAA Membership

RegionMembers
United StatesAll 50 states + DC, PR, USVI
Canada13 provincial/territorial regulators
MexicoNational Banking and Securities Commission

Key NASAA Initiatives

InitiativePurpose
Uniform Securities ActModel state securities legislation
Statement of PolicyGuidance on specific issues
Investment Adviser Model RulesStandards for state-registered IAs
Coordinated ExaminationsMulti-state enforcement actions

NASAA vs. SEC vs. FINRA

OrganizationLevelFocus
SECFederalFederal securities laws
FINRASROBroker-dealer regulation
NASAAStateState securities laws (Blue Sky)
State RegulatorsStateEnforce state laws

Blue Sky Laws

State securities laws are called "Blue Sky Laws":

  • Originated to protect investors from "speculative schemes with no more substance than so many feet of blue sky"
  • Each state has its own administrator
  • NASAA coordinates uniformity

Series 63, 65, 66 Exams

NASAA develops content outlines for:

ExamPurpose
Series 63Uniform Securities Agent State Law
Series 65Uniform Investment Adviser Law
Series 66Combined 63 + 65 state law

State Securities Administrator Powers

PowerDescription
RegistrationApprove/deny securities registration
LicensingLicense agents, IAs, broker-dealers
EnforcementInvestigate and penalize violations
RulemakingCreate state-specific regulations

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