Disclosure
Disclosure of SEC Required Order Execution and Routing Information
Sanders Morris Harris, Inc. (formerly SMH Capital, Inc.) (“SMH”) is a NASDAQ market maker. SEC Rule 605 (formerly SEC Rule 11Ac1-5) requires OTC market makers, exchange market makers, national securities exchanges, and others to make available monthly reports of statistical data regarding order execution for "covered orders" as defined under the Rule.
SEC Rule 605 Reports |
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| January, 2010 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| December, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| November, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| October, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| September, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| August, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| July, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| June, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
| May, 2009 | SMHI had no covered orders under SEC Reg. NMS, Rule 605 for this month. |
SEC Rule 606 Reports
Pursuant to Rule 606 adopted by the Securities and Exchange Commission, SMH is presenting certain information with respect to orders executed during the preceding quarter. You can obtain this information by accessing the link below.
Please refer to:
Pershing Order Routing Disclosure (type "SMH CAPITAL INC" in the search
box.)
Goldman Sachs (SMHJ) Order Routing Disclosure
Concept Capital Division Mixit (CCMK) Routing Disclosure
Sanders Morris Harris Inc(SMHI) Routing Disclosure
JP Morgan (CCCM) Order Routing Disclosure
Please note that the vast majority of SMH's customer trading activity is institutional in nature. Due to the size and trading strategies employed by these customers, most institutional orders are not subject to or relevant for Rule 605 or 606 reporting.
The SEC requires that the disclosure of a market center's order execution information be made available free and readily accessible to the public via a web site.
Historical performance results for investment indexes and/or categories generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment-management fee, the incurrence of which would have the effect of decreasing historical performance results.
As representatives of Sanders Morris Harris, Inc., our financial advisors have the ability to build investment portfolios based on the specific needs and goals of each individual client. Sanders Morris Harris, Inc. offers a wide variety of approved products and programs including stocks, bonds, options, mutual funds, annuities, life insurance, alternative investments, college savings plans, and asset management programs. Because there are hundreds of investment choices within this universe of approved products, Sanders Morris Harris, Inc. may focus on a select group of companies that meet SMH's due diligence criteria and assist Sanders Morris Harris, Inc. in training, education and marketing. These product sponsors may have greater access to our advisors, if they are invited to market to, train and educate them on their products and industry related topics with the intent to better serve their mutual clients.
It is important to know that although the product sponsors pay some additional compensation to Sanders Morris Harris, Inc. and/or its affiliates, clients do not pay more to purchase these products through Sanders Morris Harris, Inc. than they would normally pay to purchase them through another broker/dealer. The payment of this additional compensation to Sanders Morris Harris, Inc. by these product sponsors may pose a financial incentive for us to promote certain products over other products, although we believe that these arrangements do not compromise the advice your advisor provides to you.
Sanders Morris Harris, Inc. is providing the following information to help you better understand the potential conflicts of interests regarding compensation that Sanders Morris Harris, Inc. receives from the product sponsors whose investments we offer to you.
The additional amounts that these product sponsors pay Sanders Morris Harris, Inc. vary from one sponsor to another and from one product to another.
Companies may at times send Sanders Morris Harris, Inc. payments in recognition of our sales and marketing efforts, and may have additional opportunities to provide marketing services to our advisors. In addition, companies may pay marketing allowances to Sanders Morris Harris, Inc. in connection with the sale of certain products and for training and educational meetings for our advisors. Product sponsors and other companies may reimburse up to 100 percent of the cost of due diligence, training and education/joint marketing meetings for our advisors, as permitted by industry rules. Sales of any products by Sanders Morris Harris, Inc. advisors may qualify them for additional cash and non-cash compensation that may include support for their business activities, attendance at seminars, conferences and entertainment. Additionally, some investments, whether they are issued by a product sponsor or not, may pay higher rates of compensation than others (for example, commissions on equities are usually greater than those on bonds, and private placement offerings generally carry higher commissions than investments in publicly traded securities).