The Customer Investment Profile

What this video covers

• Why know-your-customer (KYC) is the always-on baseline for account servicing while the suitability profile is the deeper-cut layer required only when recommendations are made
• Which nine factors the official suitability rule requires, plus the catch-all, and why investment time horizon and risk tolerance are the two most frequently forgotten
• How financial factors such as alternative minimum tax (AMT) exposure, liquid net worth, and liquidity needs shape portfolio construction
• How non-financial considerations including age, marital status, dependents, and employment stability fit into the profile
• Why preservation of capital does not mean cash only, and how to match objectives to suitable vehicles across different time horizons
• What reasonable efforts actually requires: the rep must ask, document the answer or refusal, and cannot ignore a factor without a specifically documented reasonable basis
• The exact consequence chain when a customer refuses profile information: account may still open, but recommendations cease and the rep must document the refusal in writing