There are many considerations in this process of dealing with a broker. First, you should decide what type of brokerage account is right for you, i.e., a full service or discount account. That decision is usually based upon what kind of services you want, how involved you plan to be win the account how much activity you anticipate taking place in the brokerage account.

If you decide on a full service account, the next decision will probably be how to choose a broker. The most important thing is to choose a broker that you believe will be honest and straightforward with you. You do not want someone that you cannot relate to and that cannot relate to you and your specific wants and needs. You do not need your broker to be your best friend, but you must feel like they understand your specific objectives and risk tolerance, and that they will not take advantage of you.

There may be many documents associated with opening and maintaining your account, depending on the type of account you are opening. What is most important is that you fully understand what the documents say and what they represent. Your account and the activity within the account are regulated, and should be monitored to make sure that the account and its holdings are consistent with your objectives and risk tolerance. The documents related to your brokerage account are the cornerstone of the regulation and monitoring process.