SIE Exam Question 537: Answer and Explanation

Question: 537

All but which of the following are correct regarding the Central Registration Depository (CRD)?

• A. It was developed by NASAA and the NASD.
• B. It consolidated a multiple paper-based state licensing and regulatory process into a single, nationwide computer system.
• C. Its computerized database contains the licensing and disciplinary histories on more than 650,000 securities professionals and 5,200 securities firms.
• D. All of the above are correct.

Correct Answer: D

Explanation:

The Central Registration Depository (CRD) was developed by NASAA and the NASD, and it consolidated a multiple paper-based state licensing and regulatory process into a single, nationwide computer system. Its computerized database contains the licensing and disciplinary histories on more than 650,000 securities professionals and 5,200 securities firms.