Discretionary Authority

Discretionary authority gives the broker the right to trade your account, in some cases with no restrictions on what may be traded or the strategies employed. Limited discretionary authority generally applies to only certain types of trades. Full discretionary authority gives the broker the right to make any trade at any time in your account, without consulting you. We generally do not recommend that you grant full discretionary authority unless you are totally confident in the trading ability as well as the ethics and reputation of your broker.