Fidelity Bond Requirements (FINRA Rule 4360)
FINRA Rule 4360 requires each member firm to join the Securities Investor Protection Corporation (SIPC) and to secure fidelity bonding insurance with specified amounts of coverage based on the firm’s net capital requirement. Such firms must maintain fidelity bond coverage that provides for per loss coverage without an aggregate limit of liability. Firms may apply for this level of coverage with any product that meets these requirements, including the Securities Dealer Blanket Bond (SDBB) or a properly endorsed Financial Institution Form 14 Bond (Form 14). Net Capital Requirements The rule requires a member with a net capital requirement of less Read more about Fidelity Bond Requirements (FINRA Rule 4360)[…]