CLEVELAND, Jan. 28, 2016 /PRNewswire/ -- The year 2015 was a year of new beginnings for Grand Rapids, Michigan broker dealer, Regulus Advisors. Last decade, Regulus established a boutique broker dealer to take on the direct business models for mutual funds and variable annuities. Within just a few years, the firm had taken a huge leap forward and established an agreement to clear securities transactions with top wall street firm Pershing LLC.
"Regulus was perfectly positioned for a clear- through or piggy back relationship with Pershing," mentions Christopher Barone, President of Cleveland, Ohio based broker dealer America Northcoast Securities. "Northcoast has been introducing boutique broker dealers and registered investment advisors to Pershing for nearly 20 years, and Regulus Advisors had all the basic underpinnings required to become a BD with Pershing; they just needed a partner in the business to bridge the gaps." America Northcoast has been a Pershing correspondent since 1994.
Although there is no official partnership, the Northcoast Securities team helped gear Regulus up for the transition in 2014, assisting with FINRA requirements, capitalization, and conversion of nearly 1500 accounts in the span of about 90 days in the first quarter of 2015. Christopher Barone says, "Not everything goes perfectly, but in the end we believe that we have the most efficient Pershing to Pershing conversion methods in the industry. The most important thing is that the Regulus customer base now has the desired direct relationship with Regulus Advisors.
Regulus Advisors had previously established a deep bench of operations and compliance personnel who had experience working with their former broker dealer. Becoming their own full service broker dealer would only require a working relationship with FINRA, and a "piggy back" style clearing relationship with Pershing. The Regulus staff left their old broker dealer once this piggy back Pershing relationship had been established with Northcoast Securities.
Brian Yarch, CFO of Regulus indicates that, "we now have all of the advanced client service capabilities of the largest clearing firms including check acceptance, prime rate loan products, and assisting clients with their ESOP programs. Regulus can provide any number of these financial services utilizing the Northcoast Securities support staff when necessary as new situations present themselves."
"Northcoast has assisted with the conversion to assure that client services were not interrupted as accounts moved between Pershing firms. Ultimately Regulus will become their own hub," says John Kailunas, President of the Regal Financial Group. "Regulus Advisors will eventually grow this business into a fully disclosed broker dealer with Pershing. In the meantime, we are thrilled to build our business in these initial stages with the help of Northcoast Securities who have been dedicated to our success from the day we met."
Both America Northcoast Securities and Regulus Advisors had a significant number of attendees at this year's Pershing INSITE conference in Orlando Florida which featured Pershing's latest technology, products and services to be offered in the New Year. For more information on becoming your own Pershing broker dealer through a relationship with Northcoast Securities, please contact (216) 839-5103 or email firstname.lastname@example.org.
SOURCE America Northcoast Securities; Regulus Advisors