If the investor has a speculative investment objective, adequate trading experience and understands his positions, this could be OK. It is unusual, but it it could be ok. An investor can trade whatever they want including naked options regardless of age, as long as the risks are understood. The other 3 true statements

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Your latest client is a 84 year old retiree. He just transferred his holdings to you via ACAT. Upon review, you see that he is currently holding several naked call positions. Which of the following is NOT TRUE of this situation?

It may be OK, as long as his investment objective is speculation

Due to his age, he cannot trade naked options

It is good to discuss these holdings with the man in order to determine he is aware of the unlimited risk

If he understands his holdings, his risk tolerance must be very high