Series 10 Exam Question 21: Answer and Explanation

Question: 21

A UTMA account allows the assets in the account to:

• A. Remain there until the custodian decides to transfer them to the beneficial owner.
• B. Be invested more aggressively than in a UGMA.
• C. Remain in the account until the beneficial owner reaches the age of 25.
• D. Remain in the account until the beneficial owner reaches the age of 21.

Correct Answer: C

Explanation:

A UTMA account allows the assets to remain in the account until the beneficial owner reaches the age of 25.