Account Designations and Pre-Time Stamping

What this video covers

• Why an account name or designation must be on the order form or similar record before execution, transaction by transaction, rather than before entry or settlement
• How an account number, other designation, or multiple account designations can satisfy the account identification requirement
• Which changes require approval from a qualified and registered principal designated by the member, including changes involving related accounts and error accounts
• What the principal must do before approving a change: become personally informed of the essential facts and approve the change in writing on the order or similar record
• Why approval and documentation are separate acts, and how essential facts must be documented in writing and retained for three years, with the first two years easily accessible
• How the investment adviser allocation exception works, including the end-of-trade-date deadline, eligibility limits, percentage allocation intent, and fiduciary duty
• Why pre-time stamping order tickets for block positions makes the firm's books inaccurate and is contrary to the general recordkeeping rule