SIE practice questionmediumAccount Transfers - ACATS
Under FINRA rules, when a customer requests a transfer of their brokerage account via ACATS, the delivering firm must complete the transfer within:
- A6 business days✓ Correct answer
- B30 business days
- C1 business day
- D3 business days
Explanation
Why A — 6 business days
ACATS (Automated Customer Account Transfer Service) facilitates the transfer of customer accounts between broker-dealers. Under FINRA Rule 11870, once a valid transfer instruction is received and validated, the delivering firm must complete the transfer within 6 business days. The receiving firm initiates the process, and the delivering firm has 3 business days to validate the request and then must deliver assets within the timeframe.
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