Section 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 9-102 (a)(15), is not a security or a financial asset.(g) A document of title is not a financial asset unless Section 8-102 (a)(9)(iii) applies.(h) An obligation, share, participation, or interest does not satisfy Section 8-102 (a)(13)(ii) or 8-102 (a)(15)(i) merely because the issuer or a person acting on its behalf: (1) maintains records of the owner thereof for a purpose other than registration of transfer; or(2) could, but does not, maintain books for the purpose of registration of transfer.Amended by New York Laws 2014, ch. 505,Sec. 24, eff. 12/17/2014.