Which of the following is required to meet the quantitative test for Elective professional clients?

To qualify as an Elective Professional client, individuals must demonstrate sufficient trading experience and financial capability to handle investments without the same level of regulatory protection offered to retail clients. One of the quantitative tests involves the individual's trading activity.

The requirement of averaging 10 trades per quarter over the last four quarters indicates an active trading pattern that reflects experience with the complexities of financial markets. This threshold is designed to ensure that the client understands the risks associated with trading and possesses the necessary experience to make informed investment decisions. Meeting this criterion shows that the client is regularly engaging in trading, suggesting familiarity with market dynamics and trading products.

Other criteria related to portfolio size can also play a role in qualifying as an Elective Professional client, but the average number of trades is a direct measure of trading experience and market participation, which is crucial for this classification. This aspect distinguishes those with a higher degree of investment acumen from retail clients who may not have the same level of engaging in trades regularly.