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SEC Rule 18a-5(a)(9)

Requires certain swap firms to prepare trial balances and compute net capital or tangible net worth at least once per month.

Rule Overview

Jurisdiction: United States

Regulator: SEC

Topic: Recordkeeping

Overview
Latest News
Further Reading

This rule applies to security-based swap dealers and major security-based swap participants registered under the act for whom there is no prudential regulator.

It mandates that these firms maintain a record of proof of money balances for all ledger accounts in the form of trial balances.

Additionally, they must keep a record of the computation of net capital or tangible net worth, as applicable, as of the trial balance date.

These trial balances and computations must be prepared and updated at least once per month to ensure that they reflect current and accurate financial information.

Latest News More on SEA 1934 Rule 18a 

Further Reading

SEC final version of new rule Go to https://www.sec.gov/files/rules/final/2019/34-87005.pdf