Customer Documentation and Screening: Rapid Fire

What this video covers

• Why Riley must identify Ingrid as a legitimate prospect and secure a signed confidentiality agreement before sharing any non-public offering details, and how that agreement removes her from Regulation Fair Disclosure (Regulation FD) coverage
• The four items collected before account opening under the customer identification program (CIP), versus the ongoing essential-facts duty under know-your-customer (KYC) that runs after the account opens
• Why collected and verified are separate checkpoints, and how a customer awaiting an applied-for taxpayer identification number can still open the account
• The three writings required for full discretion: customer authorization, firm acceptance, and prompt approval of each order, and why limited time-and-price discretion needs none of them but expires at the closing bell
• What electronic delivery requires for informed consent, and why silence is not consent, a website posting is not direct notice, and a global consent demand is not informed unless the firm operates entirely online
• The qualified institutional buyer (QIB) certification letter requirements: chief financial officer or executive officer signature, stated amount owned and invested on a discretionary basis, and date on or since the last fiscal year end
• Why the privacy rule (Regulation S-P) defaults to opt out not opt in, what makes a 30-day opt-out opportunity reasonable, and the 72-hour vendor breach notice versus the 30-day firm-to-customer breach notice