dISCLOSURES
Business Continuity Plan
Middlegate Securities Inc. has developed a Business Continuity Plan on how we will respond to events that significantly disrupt our business. Since the timing and impact of disasters and disruptions is unpredictable, we will have to be flexible in responding to actual events as they occur. With that in mind, we are providing you with this information on our business continuity plan.
Contacting Us - If after a significant business disruption and you cannot contact us as you usually do at (212) 382-9500, and have tried to access our website at middlegatesecurities.com and you cannot access us through either of those means, you should contact our clearing firm, National Financial Services. They can be reached at 1-800-801-9942 or you can visit www.nationalfinancial.com for instructions on how they may assist you in providing access to funds and securities, enter orders, and process other trade-related duties — such as cash and security transfers. Wedbush Securities Inc. can be reached at (206) 623-3040, or at CSDLiasons@wedbush.com.
Our Business Continuity Plan - We plan to quickly recover and resume business operations after a significant business disruption and respond by safeguarding our employees and property, making a financial and operational assessment, protecting the firm's books and records, and allowing our customers to transact business. In short, our business continuity plan is designed to permit our firm to resume operations as quickly as possible, given the scope and severity of the significant business disruption.
Our business continuity plan addresses: data backup and recovery; all mission critical systems; financial and operational assessments; alternative communications with customers, employees, and regulators; alternate physical location of employees; critical supplier, contractor, bank and counter-party impact; regulatory reporting; and assuring our customers prompt access to their funds and securities if we are unable to continue our business.
Our clearing firms, National Financial Services and Wedbush Securities Inc., back up our important records in a geographically separate area. While every emergency situation poses unique problems based on external factors, such as time of day and the severity of the disruption, we have been advised by our clearing firm that its objective is to restore its own operations and be able to complete existing transactions and accept new transactions and payments within a four hour period. Your orders and requests for funds and securities could be delayed during this period.
Varying Disruptions - Significant business disruptions can vary in their scope, such as only our firm, a single building housing our firm, the business district where our firm is located, the city where we are located, or the whole region. Within each of these areas, the severity of the disruption can also vary from minimal to severe. In a disruption to only our firm or a building housing our firm, we will transfer our operations to a local site when needed and expect to recover and resume business within one day. In a disruption affecting our business district, city, or region, we will transfer our operations to a site outside of the affected area, and recover and resume business within two days. In either situation, we plan to continue in business, transfer operations to our clearing firm if necessary, and notify you through our website middlegatesecurities.com how to contact us. If the significant business disruption is so severe that it prevents us from remaining in business, we will assure our customer's prompt access to their funds and securities.
For more information - If you have questions about our business continuity planning, you can contact us at (212) 382-9500.
Privacy Policy
MIDDLEGATE SECURITIES INC. PRIVACY POLICY
In accordance with the Gramm-Leach-Bliley Act of 1999, the SEC adopted Regulation S-P which requires broker/dealers to develop privacy policies with respect to customer nonpublic information.
Middlegate Securities Inc. values your right to privacy. We are entrusted with your private and confidential information. We believe that it is of utmost importance to protect your personal information, while enabling us to service your account professionally. The information that Middlegate Securities Ltd collects through its New Account Form, such as your name, address, tax identification number, telephone number, date of birth, employment status, annual income, net worth, financial objectives and bank reference are used solely to process your transactions and requests and help us in evaluating your financial goals.
Middlegate Securities Inc. restricts access to any personal, nonpublic information to only those employees, agents and affiliated parties who require this information in order to process your requests and transactions. Our employees are required to protect the confidentiality of your information and will access it only when there is an appropriate reason to do so. We safeguard your information physically, electronically and through our procedures, in compliance with all applicable laws.
At certain times, Middlegate Securities Inc. may disclose information because we are legally required to do so in response to a request from a Governmental or Regulatory Agency. Middlegate Securities Inc. does not share your personal information with any unaffiliated company, group or individual. Your information is shared with our Clearing Firm, National Financial Services to process your transactions. Only upon your request will we provide to a third party, such as an accountant or attorney, whatever information you will direct us to provide.
Middlegate Securities Inc. will never sell any information about you or your account with us to any other company or individual. In the event that you are no longer our client, our policy regarding nonpublic information will still apply.
If you should have any further questions concerning our Privacy Policy, please feel free to contact our compliance department.
SEC Rule 606 Reports
Middlegate Securities Inc. SEC Rule 606 Reports
Margin Disclosure Statement
Securities purchased on margin are the firm's collateral for the loan to you. If the securities in your account decline in value, so does the value of the collateral supporting your loan, and, as a result, the firm can take action, such as issue a margin call and/or sell securities or other assets in any of your accounts held with the member, in order to maintain the required equity in the account. It is important that you fully understand the risks involved in trading securities on margin. These risks include the following:
- You can lose more funds than you deposit in the margin account.
- The firm can force the sale of securities or other assets in your account(s).
- The firm can sell your securities or other assets without contacting you.
- You are not entitled to choose which securities or other assets in your account(s) are liquidated or sold to meet a margin call.
- The firm can increase its "house" maintenance margin requirements at any time and is not required to provide you advance written notice.
- You are not entitled to an extension of time on a margin call.
