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Thanks to all who responded.

The reason I was contemplating such a complex arrangement is that a friend wanted to do an investment club with me but the investment club is of no benefit to myself since I can trade for free with American Express. My friend did not want the arrangement to cost me any additional money.

After reading your response I realize that my idea is not practical. However, another thought has crossed my mind. Let's say I establish a personal brokerage account with TDWaterhouse. Let's say I transfer stock from my personal American Express brokerage account to my personal TDWaterhouse brokerage account. I then instruct TDWaterhouse to transfer the stock from my personal account to my friend's personal account. If TDWaterhouse won't transfer stock to two unrelated parties perhaps I could have my friend establish a joint brokerage account with me under his social security number with the understanding that the money is really his. When my friend's brokerage account receives the stock, I would consider this to be a sale of the stock to my friend on the date the stock reaches his brokerage account. I would be willing to absorb any potential capital gains/losses (and related taxes)that take place between the original purchase price of the stock in my American Express brokerage account and the price of the stock on the date of sale (transfer) to my friend.

Is this situation workable? Thanks again.
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