Brokerage asking for each other's "risk profile"

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Mr. Digweed
Posts: 132
Joined: Fri Apr 04, 2014 11:22 am

Brokerage asking for each other's "risk profile"

Post by Mr. Digweed » Sat Aug 31, 2019 11:13 am

I suppose many here have brokerage accounts held in a form of partnership; wife and spouse. But why would a brokerage firm need the investment risk profile of each?

Silk McCue
Posts: 3975
Joined: Thu Feb 25, 2016 7:11 pm

Re: Brokerage asking for each other's "risk profile"

Post by Silk McCue » Sat Aug 31, 2019 11:16 am

Mr. Digweed wrote:
Sat Aug 31, 2019 11:13 am
I suppose many here have brokerage accounts held in a form of partnership; wife and spouse. But why would a brokerage firm need the investment risk profile of each?
Regulatory requirement. Both are owners of the account.

Just complete it for both and be done.

Cheers

NotWhoYouThink
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Joined: Fri Dec 26, 2014 4:19 pm

Re: Brokerage asking for each other's "risk profile"

Post by NotWhoYouThink » Sat Aug 31, 2019 11:23 am

As long as you manage your own investments and don't turn that job over to the broker it won't matter what you put down for your risk profile.

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JoMoney
Posts: 8389
Joined: Tue Jul 23, 2013 5:31 am

Re: Brokerage asking for each other's "risk profile"

Post by JoMoney » Sat Aug 31, 2019 11:23 am

^ Yup, "Regulatory Requirements" ...
A broker needs something to reference to cover themselves and show they could reasonably presume the investments being sold to you are "suitable" for the account owners
https://www.finra.org/rules-guidance/ke ... uitability
"To achieve satisfactory investment results is easier than most people realize; to achieve superior results is harder than it looks." - Benjamin Graham

Topic Author
Mr. Digweed
Posts: 132
Joined: Fri Apr 04, 2014 11:22 am

Re: Brokerage asking for each other's "risk profile"

Post by Mr. Digweed » Sat Aug 31, 2019 11:47 am

Thank you.

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