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Blue-Sky Laws

Trading Term

The applicable state registration laws for new issue securities established under the USA. The three methods of state securities registration include:

  • Notification – Though not allowed in all states, this method simply involves submitting an application with the state Administrator requesting approval to offer securities to the state.
  • Coordination – This form is completed simultaneously with a federal registration and generally becomes effective at the same time.
  • Qualification – This method involves meeting the specific requirements of one state and becomes effective at the discretion of the state Administrator.

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