What is a Custodial UGMA/UTMA account?
• A Custodial account is defined as an account where an adult is designated to exercise control of a minor’s account on behalf of the minor. For example, the proper registration would read as follows: John Doe CUST Mary Doe UGMA What is meant by a signature guarantee? • The signature guarantee is standard in the securities business. If you handle transactions through a broker, you probably are unaware of this requirement, as your broker attends to it as part of his/her service to you. Its chief purpose is to authenticate your signature. The guarantee also carries statutory warranties which are relied upon by the transfer agent. NOTE: Your signature must be guaranteed by: a) commercial bank or trust company, or b) a member firm of a domestic stock exchange (foreign banks must indicate their New York correspondent). Signature guarantees by any other entities, including, but not limited to, savings and loan associations, credit unions, and notary publics, are NOT acceptable. A signature g
