DEVELOPING A DBA
Broker/dealers and investment advisors must register with the oversight agencies, such as FINRA and the SEC. Those registrations must describe all names under which the Firm conducts its brokerage and advisory business. The Firm conducts its business under the name “Equity Services, Inc”. Its advisory business is also conducted under the name “ESI Financial Advisors”. Therefore, no registered representative of the Firm (“RR”) may provide brokerage- or investment-related financial services, such as the sale of mutual funds, stocks, bonds or other securities, under any name other than Equity Services, Inc. No investment advisory representative of the Firm (“IAR”) may provide investment advisory-related financial services (including financial planning) under any name other than ESI Financial Advisors (EFA) or Equity Services, Inc.
For the Firm to comply with these rules, any DBA or related tagline used by a RR or IAR must not suggest that any services offered through the Firm are offered under that DBA. Common terms that may raise concerns include “advisor”, “adviser”, “advisory”, “wealth management”, “securities”, “investments” and “planning”. The Firm understands that insurance and certain other services may also be considered “financial services” and, therefore, would typically not object to the use of that term in a context that clearly separates the financial services provided under the DBA from the financial services offered by the Firm.
For example, the provision of insurance services under the name “Jones Insurance Services” or “Jones Financial Services” may be acceptable for FINRA/SEC purposes. Additionally, you should not consider a name that could be misleading to the public such as Jones Financial Group if you are an individual practitioner or if the only other professional is unlicensed, such as support staff.
DBAs REQUIRE PRIOR APPROVAL
All DBAs must be approved by ESI Compliance prior to use. We recommend you submit all DBAs to ESI Compliance prior to filing with any state insurance department and/or Secretary of State, creating legal entities such as LLCs and/or partnerships, or printing any materials containing any DBA prior to approval. You should also consult with ESI Compliance on any changes to a DBA requested by a state department prior to finalizing your state filing to ensure the final DBA is acceptable both for FINRA and/or the SEC.
QUESTIONS
Questions regarding this Field Notice may be directed to ESI Compliance at 800-344-7437.
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