All broker-dealer application filings are made electronically through the Central Registration Depository (CRD) using Form BD. The broker-dealer must submit amendments to its Form BD via the CRD system within 30 days of the change under Wis. Admin. Code s. DFI-Sec 4.04(3). A notice of opening, closing or change of address of a Wisconsin office of the broker-dealer must be filed with the CRD on Form BR within 14 days of the event. See the Branch Offices section for more details.
If an individual meets the definition of "agent" in Wis. Stat. s. 551.102(2), the broker-dealer must file a Form U4 for registration of the agent along with $80 for each agent via the CRD. The Financial Industry Regulatory Authority (FINRA) restructured its representative-level qualification examinations program beginning October 1, 2018. The Wisconsin Division of Securities issued an Order Requiring Compliance with New FINRA Examination Requirements. To become registered, each prospective registrant must receive credit for or pass both the FINRA Securities Industry Essentials (SIE) examination and a FINRA representative-level examination. The applicant must also pass the North American Securities Administrators Association (NASAA) Uniform Securities Agent State Law Examination (Series 63) or the NASAA Uniform Combined State Law Examination (Series 66) in conjunction with the General Securities Representative Examination (Series 7).
If an individual who is registered as an agent of a broker-dealer either leaves the broker-dealer or is no longer acting as an agent, the broker-dealer must file Form U5 via the CRD within 30 days of the termination or change in status under Wis. Admin. Code s. DFI-Sec 4.08(2). If this form is not filed within the time prescribed, the broker-dealer will be subject to a delinquent filing fee of $100.00 under Wis. Admin. Code s. DFI-Sec 7.01(6)(e).
To withdraw a broker-dealer registration, the broker-dealer must submit a Form BDW via the CRD under Wis. Admin. Code s. DFI-Sec 4.08(1). If the broker-dealer has any open customer accounts in Wisconsin, the settlement of those accounts is a condition of its withdrawal. The withdrawal is not effective until electronically filed through the CRD.
Annual reports are NOT required to be filed with the Division of Securities unless the broker-dealer is not current with its filings with the U.S. Securities and Exchange Commission (SEC). See Wis. Admin. Code s. DFI-Sec 4.04(1)(b).
Every broker-dealer shall maintain net capital as prescribed in rule 15c3-1 of the Securities Exchange Act of 1934 in such minimum amounts as are designated in that rule for the activities engaged in by the firm in Wisconsin. The firm must also provide immediate electronic or written notice to Wisconsin whenever the net capital is less than required.
The broker-dealer is required to file with the division a copy of any complaint, civil or criminal proceeding against the broker-dealer, its partners, officers or agents within 20 days of the complaint or proceeding being served on the broker-dealer. A copy of any answer or reply to the complaint or proceeding is due to the division within 10 days of the date the answer is filed. A copy of any decision, order or sanction regarding the complaint or proceeding is due to the division within 20 days of the date the decision, order or sanction is given. See Wis. Admin. Code s. DFI-Sec 4.04(2).
The broker-dealer must file with the division immediate electronic or written notice whenever there is a theft or disappearance of any Wisconsin customers' securities or funds that are in the custody or control of any of its offices, stating all material facts known concerning the theft or disappearance.
Every broker-dealer that intends to provide investment advisory services for compensation in this state shall file either a notice filing through Investment Adviser Registration Depository (IARD) for federal covered advisers, or apply for state registration through the IARD for state-registered investment advisers. See the Investment Adviser section for more details.
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