Corporate and Institutional Accounts

What this video covers

• Why business entities use an Employer Identification Number (EIN) instead of a Social Security Number (SSN)
• What a corporate resolution authorizes, and why Riley the Representative cannot accept a single trade without it on file
• The exam trap that confuses governing documents (who owns the entity) with the corporate resolution (who can trade)
• Why institutional customers are presumed sophisticated and how that changes the broker-dealer's reliance on their own analysis
• The exact phrasing "different, not lower" for institutional suitability standards, and why the exam baits you with "lower" or "none at all"
• How governing documents such as corporate charters can still restrict permissible investments even for sophisticated institutions