Question

Under Oregon law, how many checking accounts must a brokerage have?

Select one:
a. One general account and a client trust account for each client
b. A general account and a client trust account
c. Just one account
d. A general account and a client trust account for each office

Answer 1

Under Oregon law, a brokerage is required to have two checking accounts: a general operating account and a client trust account to separately manage and protect client funds.

Step-by-step explanation:

By Oregon law, a brokerage must maintain at least two separate checking accounts: one being a general operating account and the other being a client trust account. The general account is used for the brokerage's business transactions. The client trust account, on the other hand, is required to safeguard client funds that are being held by the brokerage. This allows for a clear separation of client funds from the firm's operating funds, which protects clients and ensures compliance with legal and ethical standards.