About This Chapter
Obtaining Basic Customer Information & Documentation - Chapter Summary
This chapter offers interesting lessons of obtaining basic customer information and documentation. For example, you can get a refresher on privacy disclosures required in the securities industry. Experts teach you about corporate resolutions, trust documents, and more. After completing the chapter, you should be prepared to:
- Discuss rules of customer screening in securities industries
- Recall general suitability requirements
- Outline FINRA's Know Your Customer Rule
- Provide an overview of privacy regulations and information security
- Describe account authorizations for investments
- Explain what NASD Rule 2510 is about
In a short amount of time, these lessons can help you grasp concepts related to obtaining basic customer information and documentation. Our professional instructors provide plenty of helpful illustrations. To take the stress out of studying and ensure you understand the concepts studied, a brief quiz is available for each lesson. You can even print the quizzes to study offline.
1. Customer Screening in Securities Industries: Rules & Requirements
Investments firms must screen new customers before they do business for them. There are also regulations pertaining to foreign investors as well as regulations governing what buying investment brokers can do for themselves.
2. Suitability in the Securities Industry: Definition & Requirements
In this lesson, learn about the suitability standard, which is a standard of care used in the securities industry when financial advisors make recommendations to clients to buy, sell, or hold investments.
3. Information Security & Privacy Regulations in Security Industries
4. Investment Account Authorizations: Types & Requirements
In this lesson, we'll learn about discretionary authority, where agents manage the investments of clients. We'll cover corporate resolutions, trusts, documentation, and federal regulations.
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Other chapters within the Series 6 Exam: Study Guide & Practice course
- Financial Advertising & Communications With the Public
- Describing Investment Products & Services
- Disclosing Financial Account Types & Restrictions
- Understanding Retirement Plans & Tax Advantaged Accounts
- Obtaining Customer Investment Profile Information
- Obtaining Supervisory Approvals for Investment Accounts
- Analyzing Investment Portfolios & Financial Statements
- Types of Underlying Securities
- Understanding Funds, Trusts & Investment Companies
- Understanding Municipal Fund Securities
- Variable Life Insurance & Annuity Contracts
- Tax Treatment of Investment Profiles
- Disclosing Investment Product Information
- Updating Investment Customers & Retaining Customer Records
- Processing & Confirming Financial Transactions
- Resolving Investment Disputes & Customer Complaints