Listen to a Business English Dialogue About Fulltrading authorization
Ashley: Hey Aubrey, do you know what full trading authorization is?
Aubrey: Hi Ashley! Yes, full trading authorization allows someone to make trades on behalf of another person without needing their approval for each transaction.
Ashley: That’s right. It’s commonly used in investment accounts where the account holder grants someone else the authority to manage their investments.
Aubrey: Exactly. With full trading authorization, the authorized person can buy and sell securities, manage the portfolio, and execute trades without constant oversight.
Ashley: Yes, it provides flexibility for the account holder while also delegating the responsibility of managing investments to someone else.
Aubrey: Agreed. However, it’s crucial for the account holder to choose a trustworthy and knowledgeable individual to grant full trading authorization.
Ashley: Absolutely. Entrusting someone with full trading authorization requires careful consideration to ensure the individual acts in the best interest of the account holder.
Aubrey: Right. It’s important for the authorized person to understand the account holder’s investment goals, risk tolerance, and preferences.
Ashley: Yes, effective communication between the account holder and the authorized person is essential for successful investment management.
Aubrey: Definitely. Transparency and trust are key elements in maintaining a positive relationship between the account holder and the authorized trader.
Ashley: Absolutely. And it’s crucial for the authorized person to adhere to any guidelines or restrictions set by the account holder.
Aubrey: Yes, by following these guidelines, the authorized person can help the account holder achieve their financial objectives while minimizing risks.