SIE practice questioneasyCustodial Accounts – UGMA/UTMA
Who controls the assets in a Uniform Gifts to Minors Act (UGMA) account?
- AThe custodian until the minor reaches majority✓ Correct answer
- BThe minor at any time
- CThe broker-dealer
- DThe state government
Explanation
Why A — The custodian until the minor reaches majority
In a UGMA account, the custodian manages assets for the minor's benefit until the minor reaches the age of majority. The minor cannot control the account prior to this.
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