SIE: 8.4.7. Taking Orders

8.4.7.  Taking Orders

To execute an order for a customer, a representative must first fill out an order ticket. Each ticket must describe the terms and conditions of the transaction, including:

• • Name and description of the security
• • Name of the customer and account number
• • Type of order (market, limit, stop-loss order)
• • Duration of order (day order, Good Till Cancelled, Good Through Week)
• • Time and date order was placed
• • Time and date order was executed or cancelled per customer’s request
• • Order size (number of shares) and execution price
• • Whether it is a buy or sell order; if sell, whether it is long or short
• • Location of security if it was a long sale
• • Whether it was an agency or principal transaction
• • If it was subject to discretionary authority
• • Name of associated person who is responsible for the account and the name of the person who entered and accepted the order on behalf of the customer

Each firm must then keep a memorandum of each order ticket.