Section 554.8103 - Rules for determining whether certain obligations and interests are securities or financial assets1. A share or similar equity interest issued by a corporation, business trust, joint stock company, or similar entity is a security.2. An "investment company security" is a security. "investment company security" means a share or similar equity interest issued by an entity that is registered as an investment company under the federal investment company laws, an interest in a unit investment trust that is so registered, or a face-amount certificate issued by a face-amount certificate company that is so registered. Investment company security does not include an insurance policy or endowment policy or annuity contract issued by an insurance company.3. An interest in a partnership or limited liability company is not a security unless it is dealt in or traded on securities exchanges or in securities markets, its terms expressly provide that it is a security governed by this Article, or it is an investment company security. However, an interest in a partnership or limited liability company is a financial asset if it is held in a securities account.4. A writing that is a security certificate is governed by this Article and not by Article 3, even though it also meets the requirements of that Article. However, a negotiable instrument governed by Article 3 is a financial asset if it is held in a securities account.5. An option or similar obligation issued by a clearing corporation to its participants is not a security, but is a financial asset.6. A commodity contract, as defined in section 554.9102, subsection 1, paragraph "o", is not a security or a financial asset.7. A document of title is not a financial asset unless section 554.8102, subsection 1, paragraph "i", subparagraph (1), subparagraph division (c) applies.8. A controllable account, controllable electronic record, or controllable payment intangible is not a financial asset unless section 554.8102, subsection 1, paragraph "i", subparagraph (1), subparagraph division (c), applies.89 Acts, ch 113, §2; 96 Acts, ch 1138, §11, 84; 2000 Acts, ch 1149, §149, 187; 2007 Acts, ch 30, §45, 46, 64
Amended by 2024 Iowa, ch Chapter 1023,s 33, eff. 7/1/2024.C50, 54, 58, 62, §493A.15; C66, 71, 73, 75, 77, 79, 81, §554.8103 89 Acts, ch 113, §2; 96 Acts, ch 1138, §11, 84; 2000 Acts, ch 1149, §149, 187; 2007 Acts, ch 30, §45, 46, 64Referred to in §501A.903, 554.8102