Series 7 practice questioneasyCustomer Account Statements
How frequently must broker-dealers send account statements to customers who have had activity in their accounts?
- AWeekly
- BQuarterly for all accounts regardless of activity
- CAnnually
- DMonthly for active accounts; quarterly for inactive accounts✓ Correct answer
Explanation
Why D — Monthly for active accounts; quarterly for inactive accounts
Under FINRA Rule 2231, broker-dealers must send account statements at least quarterly to all customers who have securities positions or cash balances. For accounts with activity during the period, statements must be sent monthly. For accounts with no activity (but with positions or balances), statements may be sent quarterly. Statements must include all positions, balances, and any activity that occurred during the period.
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