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The point where this gets iffy is where you got power of attorney over other people's accounts.

If they chose to send you their brokerage statements, and you from time to time when there was money in the account, would recommend a particular stocik and they put in the order, I believe you'd be fine. But where you are acting as a money manager and YOU have discretion over their accounts, even if one client, you may, depending on regulations in your state, require a license.

What if you had recommended Facebook on the IPO, amid all the publicity, and your relatives are losing money? They could come after you saying that was speculative and not appropriate for their circumstances. If you were licensed, you'd know of the obligation to "know your client" and to act in the best interests of the client.

Now, if a court has declared a relative incompetent and you are their guardian, that is also a somewhat different kettle of fish.

I'd back away from this situation to the point of having your relatives place their own orders, if they are physically able to do so. If they aren't, perhaps you need to be a court-appointed guardian?

Best wishes, Chris

Who is not a lawyer but does help relatives pick stocks.

AND talk to a lawyer in the securities field.
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