Net Capital Requirements |
9 Months Ended |
|---|---|
Sep. 30, 2018 | |
| Regulatory Capital Requirements [Abstract] | |
| Net Capital Requirements |
Net Capital Requirements
The Company’s broker-dealer subsidiaries are subject to the SEC’s Uniform Net Capital Rule 15c3-1, which requires the maintenance of minimum net capital. Each of Securities America, Triad, Investacorp, KMS, SSN and Ladenburg has elected to compute its net capital under the alternative method allowed by this rule, and, at September 30, 2018, each, excluding Ladenburg, had a $250 minimum net capital requirement. Ladenburg, as a market maker, had a $262 minimum net capital requirement.
At September 30, 2018, Securities America had regulatory net capital of $9,682, Triad had regulatory net capital of $9,705, Investacorp had regulatory net capital of $8,533, KMS had regulatory net capital of $7,532, SSN had regulatory net capital of $7,829 and Ladenburg had regulatory net capital of $25,774.
Triad, Investacorp, KMS, SSN and Ladenburg claim exemptions from the provisions of the SEC’s Rule 15c3-3 pursuant to paragraph (k)(2)(ii) as they clear their customer transactions through correspondent brokers on a fully disclosed basis. Securities America and KMS claim exemption from the provisions of SEC's Rule 15c3-3 pursuant to paragraphs (k)(2)(ii) and also (k)(2)(i).
Premier Trust, chartered by the state of Nevada, is subject to regulation by the Nevada Department of Business and Industry Financial Institutions Division. Under Nevada law, Premier Trust must maintain minimum stockholders’ equity of at least $1,000, including at least $250 in cash. At September 30, 2018, Premier Trust had stockholders’ equity of $2,732, including at least $250 in cash.
|