UGMA

Acronym for Uniform Gift to Minors Act. The act allows minors to buy and own financial securities without setting up a special trust fund.


The securities would be purchased in the name of the minor. A custodian is appointed to oversee the investment until the minor is of age, at which point he/she would have full discretion over it.

FX Significance

The UGMA could feasibly allow minors to engage in spot FX trading in their own name if the funds are managed in accordance with the Act's provisions.

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