Series 26: Withdrawal Of Equity Capital

Withdrawal of Equity Capital

SEC rules require broker-dealers to provide the SEC with notice when making withdrawals that exceed designatd amounts, and they limit how much capital a firm may withdraw. The amounts described below are meant to total the maximum aggregate amount of all withdrawals over a 30-day period (they apply only if the withdrawals exceed $500,000 in total). A firm must give the SEC two days’ advance written notice when withdrawing capital of more than 30% of its excess net capital. Excess net capital is net capital that exce