1.2. Practical Application

Amy Adams is new to the securities industry and has just passed the required licensing exams. She’s been hired by Wealth Management, Inc., a firm with hundreds of clients and more than $500 million under management. Since Amy will be providing advice as part of the business of a larger firm, she does not have to register as an investment adviser herself. Rather, she has to register with their state as an investment adviser representative. In other words, she’s a representative of someone else who is registered as an inv