Account Opening and Maintenance
This topic covers customer account types, registrations, CIP, KYC, retirement accounts, standing settlement instructions, account updates, restrictions, and required approvals.
How to study for Series 99
Treat each Series 99 item as an operations control workflow: verify authority, process accurately, reconcile breaks, preserve records, and escalate risk.
Core concepts
Concept 1
Account Opening and Maintenance questions test whether an operations professional can identify the correct operational control, processing step, record, or escalation path.
Exam cue: Identify whether the scenario involves account maintenance, money movement, settlement, processing, records, controls, or professional conduct.
Concept 2
The best Series 99 answer usually protects accurate account records, timely processing, reconciliation, supervision, customer protection, and regulatory reporting.
Exam cue: Match the answer to the operational evidence: authorization, documentation, comparison, reconciliation, reporting, supervision, or escalation.
Concept 3
Eliminate answers that bypass firm procedures, ignore exception reports, process incomplete instructions, or delay escalation of operational risk.
Exam cue: Prefer timely processing, complete records, segregation of duties, privacy, AML awareness, and exception follow-up.
Risk pitfalls and guardrails
Treating operations work as clerical when it creates customer protection, books and records, and supervisory risk.
Guardrail: Avoid answers that bypass documentation, ignore exception reports, disclose private information, or treat suspicious activity as routine processing.
Processing funds, securities, transfers, or corrections without required authority or documentation.
Guardrail: Avoid answers that bypass documentation, ignore exception reports, disclose private information, or treat suspicious activity as routine processing.
Ignoring red flags because the issue appears to be back-office or low-dollar.
Guardrail: Avoid answers that bypass documentation, ignore exception reports, disclose private information, or treat suspicious activity as routine processing.
Memory anchors
CIP
The customer identification program verifies required identifying information before or during account opening.
KYC
Know Your Customer information supports account maintenance, supervision, and appropriate handling of customer activity.
Account Registration
Account registration determines ownership, authority, titling, tax reporting, and transfer requirements.
Entity Authority
Entity accounts require evidence showing who is authorized to open and transact in the account.
SSI
Standing settlement instructions tell the firm where securities or funds should be delivered for settlement.
Retirement Account
Retirement accounts have contribution, distribution, transfer, and beneficiary rules that affect operations.
Account Update
Material customer information changes should be updated according to firm procedures.
Restriction
A restriction limits account activity when documentation, legal, credit, or supervisory issues exist.
Associated Person Account
Accounts for associated persons may require notices, approvals, or duplicate confirmations.
Disclosure Delivery
Product or account disclosures must be delivered when required by the account type or activity.
Checkpoint rule
Do the check-up only after you can summarize each concept in one sentence and identify one dangerous pitfall from memory.
Knowledge Check (after reading)
Short check-up to confirm understanding of this module.
Check-up Questions
A new customer provides a valid passport, but the address cannot be verified through the firm's usual sources. What should operations do?
An account application names a corporation, but the signer is not listed in the corporate resolution. Which step is most appropriate before activation?
Answer all questions to submit.
Next step personalized recommendations
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Move forward only after this module is stable.
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