Opening or Closing of Broker-Dealer NH Branch Office

  • balloons

    No fee.  Notification (a letter or a paper copy of Schedule E of Form BD) must be sent directly to the Bureau prior to the opening of and immediately after the closing of a New Hampshire branch office.  Include the branch manager's name, CRD number, branch address, telephone number and date of opening or closing.  Every N.H. branch office of a broker-dealer must be supervised by a Series 24 principal (Series 26 if investment company products only are sold at the location).  Please indicate in your letter the name and CRD number of the principal assigned to supervise the branch location. 

    Branch Office Definition 

    RSA 421-B:1-102... 

    (5)(A) "Branch office'' means:
              (i) With regard to an investment adviser, any location other than the main office, identified by any means to broker-dealers, other investment advisers, the public, customers, or clients as a location at which an investment adviser conducts an investment advisory business.
              (ii) With regard to a broker-dealer, any location where one or more agents regularly conducts the business of effecting any transactions in, or inducing or attempting to induce the purchase or sale of, any security, or is held out as such, excluding:
                 (a) Any location that is established solely for one or both of customer service and back-office-type functions where no sales activities are conducted and that is not held out to the public as a branch office;
                 (b) Any location that is the agent's primary residence; provided that:
                    (1) Only one agent, or multiple agents who reside at that location and are members of the same immediate family, conduct business at the location;
                    (2) The location is not held out to the public as an office and the agent does not meet with customers at the location;
                    (3) Neither customer funds nor securities are handled at that location;
                    (4) The agent is assigned to a designated branch office, and such designated branch office is reflected on all business cards, stationery, advertisements, and other communications to the public by such agent;
                    (5) The agent's correspondence and communications with the public are subject to the broker-dealer's supervision;
                    (6) Electronic communications, such as e-mail are made through the electronic system of the broker dealer;
                    (7) All orders for securities are entered through the designated branch office or an electronic system established by the broker-dealer that is reviewable at the branch office;
                    (8) Written supervisory procedures pertaining to supervision of activities conducted at the residence are maintained by the broker-dealer; and
                    (9) A list of the residence locations are maintained by the broker-dealer;
                 (c) Any location, other than a primary residence, that is used for securities business for less than 30 business days in any one calendar year, provided the broker-dealer complies with the provisions of subsections (5)(A)(ii)(b)(2) through (8);
                 (d) Any office of convenience, where associated persons occasionally and exclusively by appointment meet with customers, which is not held out to the public as an office;
                 (e) Any location that is used primarily to engage in non-securities activities and from which the agent effects no more than 25 securities transactions in any one calendar year; provided that any advertisement or sales literature identifying such location also sets forth the address and telephone number of the location from which the agent conducting business at the non-branch locations is directly supervised;
                 (f) The floor of a registered national securities exchange where a broker-dealer conducts a direct access business with public customers;
                 (g) A temporary location established in response to the implementation of a business continuity plan; or
                 (h) Any other location not within the intent of subsection (5) as the secretary of state may determine.
           (B) Notwithstanding the exclusions provided in subsection (5)(A)(ii), any location that is responsible for supervising the activities of agents of the broker dealer at one or more non-branch locations of the broker-dealer shall be a branch office.
           (C) "Business day'' as used in subsection (5) shall not include any partial day provided that the agent or investment adviser representative spends at least 4 hours of such day at his or her designated branch office during the hours that such office is normally open for business.