Series 7: 14.4.2.1. Options Accounts

14.4.2.1. Options Accounts

An options account permits a customer to trade options. All new options accounts must be approved by a Registered Options Principal (Series 4) or General Securities Sales Supervisor (Series 9/10) before any options transactions can occur.

Broker-dealers are held to a higher suitability standard for options accounts and must exercise due diligence to learn a customer’s suitability information before they can approve the account. Options accounts may allow options transactions at one of five trading levels, depending on the investor