You own 500 shares of XYZ stock but your brokerage firm is listed as the registered owner of the securities. Under this arrangement, the securities are said to be held in:
A) brokers call registration.
B) street name registration.
C) hypothecation.
D) a margin agreement.
E) a shorts sale agreement.

Question

Quizplus · Accepted Answer

When securities are held in street name registration, the brokerage firm is listed as the registered owner of the securities, but the actual beneficial owner is the client who owns the securities. This is a common practice in the securities industry for ease of trading and transferring ownership.

You Own 500 Shares of XYZ Stock but Your Brokerage