Question

As defined in the Investment Advisers Act of 1940, the term "person associated with an investment adviser" would include all of the following EXCEPT

A) an employee of the firm with a degree in communications whose job is the graphic design of the investment adviser's research publications


B) an individual employed by an investment adviser to solicit new advisory clients, compensated at a rate of $500 for each new account.






C) a senior officer of an investment adviser responsible for marketing the adviser's services as opposed to making investment advisory decisions.






D) a silent partner in an advisory firm organized as a general partnership
an employee of the firm with a degree in communications whose job is the graphic design of the investment adviser's research publications

The term "person associated with an investment adviser" means any partner, officer, or director of such investment adviser (or any person performing similar functions), or any person directly or indirectly controlling or controlled by such investment adviser, including any employee of such investment adviser, except that persons associated with an investment adviser whose functions are clerical or ministerial shall not be included in the meaning of the term. Graphic design would be considered a clerical function.
Reference: 3.1.1.5 in the License Exam Manual

Answer 1

A) an employee of the firm with a degree in communications whose job is the graphic design of the investment adviser's research publications

Step-by-step explanation:

In this case, the employee who performs tasks related to graphic design, but doesn't carry out any function similar to an associate partner or director of an investment adviser, is not considered a "person associated with an investment adviser". Even if that person actually worked for the investment adviser, his/her functions are considered clerical, the same as a secretary or receptionist.