The rules also require CFTC registration of introducing brokers (IBs) and trading advisors, who need to maintain a minimum net capital requirement
or enter into a guarantee agreement with a Forex broker.
BOSTON GROUP ORDERED TO SHUT DOWN: The Los Angeles-based brokerage firm that took Studio City-based Jerry's Famous Deli public, no longer meets its $250,000 minimum net capital requirement
set by regulators due to sharp drops in the stock prices of its IPOs.
The Barclays transaction will generate $25 million of net cash proceeds to the Company, and as a result of the transaction, the Company will no longer have a $76 million net capital requirement
related to the DMM operations.
We define liquid assets as the sum of (a) corporate cash and cash equivalents, (b) corporate short-term investments, (c) regulatory net capital of (i) our clearing broker-dealer subsidiary in excess of 5% of aggregate debit items and (ii) our introducing broker-dealer subsidiaries in excess of 120% of the minimum dollar net capital requirement
or in excess of 8 1/3% of aggregate indebtedness and (d) Tier 1 capital of our trust company in excess of the minimum dollar requirement.
According to a rule adopted by the SEC earlier this year, every brokerage firm with a minimum net capital requirement
of $5,000 or more, was required to inform the NASD and the SEC, no later than August 31, 1998, of its Year 2000 readiness by filing a Form BD-Y2K.
As a condition of licensure, the Department of Corporations mandates a minimum dollar net capital requirement
Upon the completion of the acquisition of the Exchange Place, the company will have satisfied the net capital requirement
to apply for a listing to trade as a NASD Small Cap Company.
29, 2015 /PRNewswire/ -- With FINRA's increasing level of surveillance over the compliance of member firms, new Regulatory Compliance software is helping broker-dealers maintain compliance with FINRA's net capital requirements
Clients seeking internal model approval under Solvency II must now demonstrate sufficient net capital requirements
at the one in 200 year net aggregate exceedance probability level.
Pickard: In sum, they went from an objective standard to a subjective standard of measuring net capital requirements
, and in the process, the restraints on incurring indebtedness and the restraints on incurring positions were significantly lessened.
Banks and brokerages that want to comply with net capital requirements
have to hold assets rated by NRSROs.
Securities firms incorporated in the United States that are broker-dealers registered with the Securities and Exchange Commission (SEC) and are in compliance with the SEC's net capital requirements