discretionary account

discretionary account definition - business

discretionary account

A brokerage account in which the customer permits the broker to act on the customer's behalf in buying and selling securities. The broker may make decisions regarding securities, prices, and timing—subject to any limitations specified in the agreement. Also called controlled account. Compare advisory account.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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