Which of the following activities engaged in by a registered person is considered a private...

A private securities transaction involves the sale of securities outside the scope of a registered representative’s employment with their member firm. Such transactions must be disclosed to and approved by the firm under FINRA Rule 3280.

B is correct because raising money for a startup involves the sale of securities and must be reported as a private securities transaction.

A is incorrect because soliciting charitable donations does not involve securities.

C is incorrect because selling term life insurance policies is not a securities transaction.

D is incorrect because investing personal money does not involve soliciting or selling securities to others.