Massachusetts Investment Adviser or Broker-Dealer Bond
Get licensed through this surety bond!
What is an Investment Adviser or Broker-Dealer Bond?
The Secretary of the Commonwealth of Massachusetts, Securities Division requires investment advisers and broker-dealers who have discretionary authority or custody of their clients’ funds or securities to furnish a surety bond as a prerequisite for a registration.
The surety bond will serve as a guarantee that the investment advisers and broker-dealers will faithfully perform their duties in accordance with the applicable laws and rules such as the Massachusetts Uniform Securities Act or Chapter 110A of the Massachusetts General Laws.
The obligations includes protecting their clients’ funds when performing securities transactions (Broker-Dealer) and advising their clients about securities and their value (Investment Adviser).
In the event of a misconduct committed by either of the registrants, the Obligee (beneficiary of the surety bond) will have the right to take action on the bond. This is for the purpose of providing financial compensation to the person who has been harmed by the wrongful act.
What is the Investment Adviser or Broker-Dealer Bond amount?
The bond amount is $10,000.
If you have an excellent credit score, you will be eligible to pay for a low bond premium! Bond premium starts at $100.
Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!
How can I get an Investment Adviser or Broker-Dealer Bond?
In order to secure this type of bond, the Investment Adviser or Broker-Dealer must seek the assistance of a surety bond company.
You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the prequalification process is fulfilled, we will execute the bond and send it to you!
What are the surety bond conditions?
- The surety bond agent or company should be authorized to conduct business in the Commonwealth of Massachusetts
- The investment adviser or broker-dealer must comply with the provisions of Chapter 110A of the Massachusetts General Laws or the Uniform Securities Act as well as the rules and regulations of the Massachusetts Securities Division
- If the investment adviser or broker-dealer commits a violation, the aggrieved party will be eligible to file a claim against the surety bond