Question

A broker is required to keep a __________ to keep track of all beneficiary accounts.

Answer 1

A broker is required to keep a beneficiary ledger to keep track of all beneficiary accounts.

Step-by-step explanation:

A broker is required to keep a beneficiary ledger to keep track of all beneficiary accounts. The beneficiary ledger is a document that records detailed information about each beneficiary account, including the account holder's name, contact information, and transaction history.

This ledger is important for several reasons:

1. It helps the broker maintain accurate and up-to-date records of all beneficiary accounts, ensuring that no account is overlooked or forgotten.
2. It allows the broker to track the performance and activity of each beneficiary account, including any changes in the account balance or investment holdings.
3. It helps the broker fulfill their legal and regulatory obligations by providing a transparent record of all beneficiary accounts, which may be required for auditing or compliance purposes.

By maintaining a beneficiary ledger, brokers can effectively manage their clients' accounts and provide them with accurate and timely information about their investments.