General Securities Sales Supervisor (Series10) Practice Exam

Which of the following accounts does not require the name and address of the person entering the order to be recorded on the order ticket?

1. Joint account

2. Individual account

3. Corporate account

4. Partnership account

The correct answer is: Individual account

The critical aspect of this question revolves around the regulatory requirements for order ticket documentation in various types of accounts. In an individual account, the order ticket is typically associated with just one individual, making it unnecessary to record the name and address of the person entering the order separately. This is because the client's information is already linked to the account, and thus, it is implicitly understood. In contrast, joint accounts, corporate accounts, and partnership accounts involve multiple parties or entities, necessitating comprehensive documentation to identify who is authorized to enter orders. For joint accounts, both individuals would need to be identified. Likewise, with corporate accounts, the entity must have a designated representative whose information needs to be included. In partnership accounts, the details of the partners or authorized individuals entering orders must be documented as well. Thus, because an individual account is singularly in the name of one person, that person's details do not need to be redundantly recorded on the order ticket, making it the correct answer.