# Title 73 — Securities Commissioner

## Article 73-02 — Securities Act of 1951

## Chapter 73-02-06 — Registration of Dealers, Salesmen, and Investment Advisers

### § 73-02-06-01. Dealer accounts and records.

1. Segregated accounts. Dealers shall at all times keep their customers' securities and funds in
trust and segregated from their own securities and funds.
2. Multiple businesses - separate records - commingling assets - division of income and
expenses. Dealers engaged in more than one business:
a. Shall maintain separate accounts, books, and records relating to their securities business
and their other businesses.
b. Shall not commingle assets of their securities business with assets of their other
businesses.
c. Shall maintain a clearly defined division with respect to income and expenses between
their securities business and their other businesses.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 10-04-11(3)
### § 73-02-06-02. Examination of investment advisers and their representatives.

1. Examination. An applicant for registration as an investment adviser, including each partner,
officer, director, or person occupying a similar position or performing similar functions if the
applicant is a form of business association, and each person representing an investment
adviser in this state shall take and pass a written examination covering the securities
business, the Securities Act of 1951 and the rules and regulations adopted thereunder, and
such other subject matter areas as the commissioner may prescribe.
2. Exemption - exception - waiver.
a. Except as otherwise provided hereinafter, those persons who are registered as
investment advisers on the effective date of this section shall be exempt from the
examination requirement imposed hereunder.
b. The commissioner may require any registered investment adviser or any person
representing a registered investment adviser in this state to take and pass the written
examination prescribed hereunder.
c. The commissioner may waive that part of the written examination relating to the
securities business upon receipt of evidence that a person has passed a comparable
examination administered by the securities and exchange commission, the national
association of securities dealers, incorporated, or the New York stock exchange,
incorporated, or has otherwise demonstrated to the satisfaction of the commissioner that
the person is qualified to transact business in this state as an investment adviser on the
basis of knowledge, training, and experience.
General Authority: NDCC 10-04-10(3)(g)
Law Implemented: NDCC 10-04-10(3)(g)

### § 73-02-06-03. Registration and renewal.

Repealed effective October 20, 2004.
