{"data":{"id":"us-ky/krs-355.8-103","jurisdiction":"us-ky","citation":"KRS 355.8-103","heading":"Rules for determining whether certain obligations and interests are","body":"securities or financial assets.\n(1) A share or similar equity interest issued by a corporation, business trust, joint stock\ncompany, or similar entity is a security.\n(2) (a) An \"investment company security\" is a security.\n(b) \"Investment company security\" means a share or similar equity interest issued\nby an entity that is registered as an investment company under the federal\ninvestment company laws, an interest in a  unit investment trust that is so\nregistered, or a face -amount certificate issued by a face -amount certificate\ncompany that is so registered.\n(c) Investment company security does not include an insurance policy or\nendowment policy or annuity contract issued by an insurance company.\n(3) (a) An interest in a partnership or limited liability company is not a security\nunless:\n1. It is dealt in or traded on securities exchanges or in securities markets;\n2. Its terms expressly provide that it is a security govern ed by this article;\nor\n3. It is an investment company security.\n(b) However, an interest in a partnership or limited liability company is a\nfinancial asset if it is held in a securities account.\n(4) (a) A writing that is a security certificate is governed by this article and not by\nArticle 3 of this chapter, even though it  also meets the requirements of that\narticle.\n(b) However, a negotiable instrument governed by Article 3 of this chapter is a\nfinancial asset if it is held in a securities account.\n(5) An option or similar obligation issued by a clearing corporation to its  participants is\nnot a security, but is a financial asset.\n(6) A commodity contract, as defined in KRS 355.9 -102(1), is not a security or a\nfinancial asset.\n(7) A document of title, as defined in KRS 355.1 -201(2), is not a financial asset unless\nKRS 355.8-102(1)(i)1.c. applies.\n(8) A controllable account, controllable electronic record, or controllable payment\nintangible is not a financial asset unless KRS 355.8-102(1)(i)1.c. applies.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=55664","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:58:46Z","sha256":"d9948b8bd8e4d9c6b09cb2ea39f1ab77d1897903d028f18516e073f5f8c7594d","source_id":"us-ky","stale":false,"prev":"us-ky/krs-355.8-102","next":"us-ky/krs-355.8-104"},"notice":"GroundRules: Original legal text. Not legal advice."}