Question

Which documents are completed when opening a margin account?

A. Risk disclosure statement
B. Customer identification documentation
C. Margin agreement
D. All of the above

Answer 1

When opening a margin account, three important documents are typically completed: risk disclosure statement, customer identification documentation, and margin agreement.

Step-by-step explanation:

When opening a margin account, three important documents are typically completed:

1. Risk disclosure statement: This document provides information about the risks associated with trading on margin, including the possibility of incurring significant losses.
2. Customer identification documentation: This is used to verify the identity of the account holder and comply with anti-money laundering regulations.
3. Margin agreement: This document outlines the terms and conditions of trading on margin, including interest rates, leverage, and margin requirements.

Therefore, the correct answer is D. All of the above.