Financial Statements

PURPOSE: This rule prescribes the content of financial statements filed by persons applying for registration, and by persons registered, as broker-dealers. PUBLISHER’S NOTE: The secretary of state has determined that the publication of the entire text of the material which is incorporated by reference as a portion of this rule would be unduly cumbersome or expensive. Therefore, the material which is so incorporated is on file with the agency who filed this rule, and with the Office of the Secretary of State. Any interested person may view this material at either agency’s headquarters or the same will be made available at the Office of the Secretary of State at a cost not to exceed actual cost of copy reproduction. The entire text of the rule is printed here. This note refers only to the incorporated by reference material. (1) A financial statement shall consist of a balance sheet, a profit and loss statement, statement of change in financial condition, certified unless otherwise prescribed in this rule or permitted by the commissioner (section 409.858, RSMo). (2) Every applicant for initial registration as broker-dealer shall file a financial statement as follows: (A) As to initial registration as a brokerdealer, the applicant shall file a certified financial statement as of a date within thirty (30) days prior to the filing; provided if the applicant has been engaged in business one (1) year or more, s/he may file a certified financial statement as of the end of his/her last fiscal period together with a balance sheet, which need not be certified, as of a date within thirty (30) days prior to the filing; and (B) If the annual financial statement is more than six (6) months old, s/he shall also file a semi-annual financial statement, which need not be certified. The semi-annual financial statement may consist wholly of a completed FOCUS report for that period. (3) Every registered broker-dealer shall file a certified financial statement within ninety (90) days after the end of its fiscal period, unless an extension of time is granted upon written request. (4) A net capital computation (FOCUS Report, Form X-17A-5), as of the date of the balance sheet, shall accompany the financial statements. (5) Registered broker-dealers shall file a semi-annual financial statement, which need not be certified, within sixty (60) days after the end of the six (6)-month period following the end of the fiscal year. A completed FOCUS report may be substituted for semiannual net capital computations and financial statements. (6) Every applicant for renewal registration as broker-dealer shall file a financial report consisting of a balance sheet and net capital computation, or a completed FOCUS report, as of a date within sixty (60) days of the date of filing. AUTHORITY: section 409.858, RSMo 1986.* This rule was previously filed as 15 CSR 3060.040. Emergency rule filed Oct. 2, 1985, effective Oct. 12, 1985, expired Feb. 9, 1986. Original rule filed Aug. 22, 1986, effective Jan. 30, 1987. *Original authority: 409.858, RSMo 1985.