SEC Rule 15a-6 & Chaperoning — Global Alliance Securities, LLC

Global Alliance Securities, LLC bridges the gap between foreign registered broker-dealers and U.S.-based institutional investors by specializing in services to non-U.S. broker-dealers under SEC Rule 15a-6* — commonly referred to in the financial industry as "chaperoning."

The GA team has over 30 years of experience in chaperoning services. These services assist non-U.S. broker-dealers in gaining access to major U.S. institutional and U.S. institutional investors. Our professionals lean on long and extensive experience in international trading, settlement, and investment banking while helping foreign registered broker-dealers navigate the complexities of complying with the appropriate U.S. rules and regulations relevant to the offering of foreign securities and services to U.S. institutional investors.

How chaperoning works

In acting as "chaperone" to foreign registered broker-dealers, GA "effects," in accordance with SEC Rule 15a-6, transactions of the foreign brokers with U.S. institutional investors, and provides solutions for settlement, custody, and customer communications in accordance with relevant U.S. regulations and compliance practices.

Each "chaperoning" arrangement is custom-tailored to fit the needs of the foreign firm's respective market — ensuring smooth settlement of transactions and clear communication between foreign registered broker-dealers, their foreign associated persons, and U.S. institutional investors under the patronage and guidance of GA acting as "chaperone."

Who qualifies as an institutional investor?

SEC Rule 15a-6 defines these types of investors as follows:

Major U.S. Institutional Investor

A person that is:

A U.S. institutional investor that has, or has under management, total assets in excess of US $100 million (an investment company may include the assets of any family of investment companies of which it is a part); or
An investment adviser registered with the SEC under Section 203 of the Investment Advisers Act of 1940 that has total assets under management in excess of US $100 million.

U.S. Institutional Investor

A person that is:

An investment company registered with the SEC under Section 8 of the Investment Company Act of 1940; or
A bank, savings and loan association, insurance company, business development company, small business investment company, or employee benefit plan as defined in Rule 501(a)(1) of Regulation D; a private business development company under Rule 501(a)(2); an organization described in Section 501(c)(3) of the Internal Revenue Code under Rule 501(a)(3); or a trust as described in Rule 501(a)(7).

Start a conversation

For additional information on our chaperoning program, please contact our team at operations@gassec.com or 212-878-6500. Further reference material is available on our 15a-6 Publication Links page.

*Rule 15a-6 affords certain exemptions from U.S. registration requirements to foreign broker-dealers utilizing the "chaperoning" services of properly registered U.S. securities firms.

The Chaperoning Relationship

How a transaction flows through GA

1

Foreign Registered Broker-Dealer

Seeking access to U.S. institutional capital

GA

Global Alliance Securities — Chaperone

Effects transactions per SEC Rule 15a-6

2

Settlement, Custody & Communications

Managed under relevant U.S. regulations

3

Major U.S. Institutional Investors

$100M+ in assets or under management

Begin a Conversation

Considering a chaperoning arrangement?

We’ll tailor a 15a-6 program to your market, settlement, and communication needs.

Call 212-878-6500 →Contact Our Team

The Harbor, 2464 Darts Cove Way, Charleston (Mt. Pleasant), SC 29466 · Office: 212-878-6500 · Fax: 212-878-6597