Final answer:
When there are changes in the investment objective of an account, customers and registered representatives (RRs) will be notified. This ensures that both parties are informed and can make appropriate decisions related to the account.
Step-by-step explanation:
When there are changes in the investment objective of an account, customers and registered representatives (RRs) will be notified. This is to ensure that both parties are informed about the changes and can make appropriate decisions related to the account.
For example, if an account's investment objective changes from long-term growth to income generation, the customer needs to be aware of this shift in focus. They may have different expectations for their investment and may want to make adjustments accordingly.
Similarly, RRs need to be notified so they can provide accurate advice and guidance to their clients. If they are not aware of the change in investment objective, they may inadvertently provide recommendations that are no longer aligned with the client's goals.