§490:8-103  Rules for determining whether
certain obligations and interests are securities or financial assets.  (a) 
A share or similar equity interest issued by a corporation, business trust,
joint stock company, or similar entity is a security.



(b)  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.



(c)  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.



(d)  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.



(e)  An option or similar obligation issued by
a clearing corporation to its participants is not a security, but is a
financial asset.



(f)  A commodity contract, as defined in
section 490:9-102(a), is not a security or a financial asset. [L 1997, c 33, pt
of §2; am L 2000, c 241, §22]