Aegis Capital Corp., a midsize broker-dealer with about 400 reps and advisers, received a $1.68 million Paycheck Protection Program loan in April 2020, according to a recent filing with the Securities and Exchange Commission.
That appears to be on the higher end of PPP loans received by privately held broker-dealers who obtained Covid-19 business relief. Last summer, InvestmentNews reported that at least seven broker-dealers received anywhere from $150,000 to $2 million from the program; loans were to be used to protect employees’ salaries during the pandemic and are forgivable.
Since then, other broker-dealers have reported taking larger PPP loans.
David Lerner Associates Inc. also recently reported it received a PPP loan of $4 million in April 2020. And one large firm, National Securities Corp., with more than 700 independent reps, reported at the end of last year receiving a PPP loan of $5.5 million.
"Aegis Capital used all PPP money for payroll and to pay salaries," said the firm's attorney, Michael Ference. The firm disclosed the loan in its most recent audited financial report, which was filed with the Securities and Exchange Commission in January but did not appear on the SEC's website until recently.
The Financial Industry Regulatory Authority Inc. said at the start of the year that it was examining individual registered reps who took the PPP loans and other aid initiatives.
The PPP provides financing for small businesses that have been hit hard by the Covid-19 pandemic.
Some in the industry say that more UBS financial advisors this year will be heading for the exits.
The Wall Street giant has blasted data middlemen as digital freeloaders, but tech firms and consumer advocates are pushing back.
Research reveals a 4% year-on-year increase in expenses that one in five Americans, including one-quarter of Gen Xers, say they have not planned for.
Raymond James also lured another ex-Edward Jones advisor in South Carolina, while LPL welcomed a mother-and-son team from Edward Jones and Thrivent.
MyVest and Vestmark have also unveiled strategic partnerships aimed at helping advisors and RIAs bring personalization to more clients.
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Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
