WHEN OPENING A NEW ACCOUNT FOR A CUSTOMER, FIRST OBTAIN IMPORTANT INFORMATION ABOUT THAT CUSTOMER
Okay, so you are becoming licensed as a Series 6 representative. Before you may open a new account, you must first obtain important information about that customer. This gathering of information is required by the U.S. Patriot Act to prevent criminal money laundering and/or tax avoidance. In accord with the Patriot Act, the U.S. Treasury and the SEC have established a Customer Identification Program (CIP) that controls brokers when opening new accounts. FINRA's Content Outline for the Series 6 Exam includes customer screening and customer identification program in Section 2.2. Series 6 candidates, therefore, should expect to see questions on these topics on the test. Bob Eder covers these rules in detail in his Study for the Series 6 Exam . Here is a sample of Bob Eder's treatment: "Required Customer Information (2.2)" "Every brokerage firm must assure that its representatives obtain identifying information about a new customer before opening an account for tha...