Jack and Jill hold a mutual fund account as tenants in common. What conditions would apply to their account? Should either die, full ownership of the…

A Tenants in Common (TIC) account has two key features relevant here. First, ownership is divided into distinct shares. While these shares can be unequal, a 50/50 split is the default assumption if not otherwise specified. Second, under regulatory rules, Know Your Client (KYC) information must be collected for every individual owner of an account. Therefore, statements 2 (assuming a default split) and 4 are correct. A TIC account does not have a right of survivorship, and trading authority typically requires consent from all owners.

1. This describes the right of survivorship, which is a feature of a Joint (JTWROS) account, not a Tenants in Common account.

3. This is a feature of a JTWROS account. In a TIC account, since ownership is divided, firms typically require authorization from all owners for transactions.

1. Canadian Securities Institute. Investment Funds in Canada Course Textbook, Chapter 10: Opening and Servicing Client Accounts. The text distinguishes Tenancy in Common by its lack of survivorship and its divided, specified ownership interests.

2. Canadian Investment Regulatory Organization (CIRO). CIRO Dealer Member Rule 3200. This rule outlines the requirements for account opening, including the mandatory collection of KYC information for all account owners.

3. Ziff, B. (2014). Principles of Property Law (6th ed.). Carswell. This academic legal text explains the nature of concurrent ownership, defining tenancy in common as having distinct shares with no right of survivorship (pp. 333-338).