SIE practice questionhardAccount Types – Beneficial Ownership
In a trust account, who is considered the beneficial owner of the assets?
- AThe broker-dealer
- BThe trustee
- CThe custodian
- DThe beneficiary named in the trust✓ Correct answer
Explanation
Why D — The beneficiary named in the trust
The beneficiary is the beneficial owner, although the trustee manages the assets. Custodian and broker-dealer are not beneficial owners in a trust.
Turn it into reps
Reading one answer is not the same as being ready
Lucky the Banker is a free practice app with 1,867+ SIE questions, weak-area tracking, and timed mock exams. No credit card, no paywall.
Related Account Types questions
- Which account type is generally NOT permitted to use margin?
- A check drawn on a joint brokerage account MUST be payable to:
- When an account holder dies, what action should a broker-dealer take regarding the account?
- Which account type most commonly allows the use of a 'transfer on death' (TOD) beneficiary?