Madoff Securities: Quality Executions
and Service
Through
Innovative Technology
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A Global Leader in Trading U.S. Equities
Providing a Complete Dealing Capability for
US Securities in Europe
Advanced Technology and Sophisticated Traders
Clearing and Settlement are Rooted in Advanced Technology
Disaster Recovery Facility Reflects the Attention
to Every Detail
The Owner's Name is on the Door
A
Global Leader in Trading US Equities
Bernard L. Madoff Investment
Securities LLC is a leading international market maker. The firm has been
providing quality executions for broker-dealers, banks, and financial institutions
since its inception in 1960. During this time, Madoff has compiled an uninterrupted
record of growth, which has enabled us to continually build our financial
resources. With more than $600 million in firm capital, Madoff currently ranks among
the top 1% of US Securities firms. Our sophisticated proprietary automation
and unparalleled client service delivers an enhanced execution that is
virtually unmatched in our industry.
Madoff Securities' clients
include scores of leading securities firms, banks and financial institutions
from across the United States and around the world. The firm is a leading
market-maker in all of the S&P; 500 stocks as well as over 350 NASDAQ issues.
The firm is known for its fine pricing as well as its ability to execute
most orders in seconds.
Madoff Securities' superior
service is made possible by a sophisticated dealing staff backed by the
securities industry's most advanced technology. It is underpinned by the
personal commitment of founder Bernard L. Madoff and his brother Peter B. Madoff,
who is the senior managing director. Their dedication to providing quality executions has enabled the firm to become a leader in the US
"third market," which trades US listed equities away from the exchange floor.
Madoff Securities is a registered US broker/dealer regulated by the Securities
and Exchange Commission and the Financial Industry Regulatory Authority, Inc.
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An
Intricate Interweaving of Advanced Technology and Sophisticated Traders
One of the critical ingredients
in creating the added value which Madoff Securities offers its clients is
the firm's intricate interweaving of advanced technology and experienced traders.
The firm's position at the forefront of computerized trading is widely acknowledged
in the US financial community.
Madoff Securities' leading
edge information processing technology means clients can choose to communicate
their buy and sell orders to the firm's trading room by electronically inputting
them or by making a telephone call. In either case, once an order is received,
Madoff's systems scan prevailing prices in all markets to establish an execution price. Because this process may take only seconds, clients can
receive immediate confirmation of their transactions.
Sophisticated computers are integral to
every aspect of the firm's activities, from executing trades to
clearing and settling them, from monitoring prices to
identifying trading opportunities around the world.
Madoff Securities also
utilizes its computers to seek out opportunities for hedging its inventory
of securities. The firm uses a variety of futures, options, and other instruments
to hedge its positions and limit its risks. While these hedging strategies
are an important tool in protecting the firm's financial position, ultimately,
these highly prudent risk management policies protect the interests of clients
as well.
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At
Madoff Securities, Clearing and Settlement are Rooted in Advanced Technology
The combination of quality
and value that is inherent in every Madoff Securities transaction continues
beyond execution. At Madoff , the clearing and settlement process is also
rooted in advanced technology, which minimizes errors and maximizes efficient
processing and rapid communications.
Madoff Securities is
a full clearing firm and a member of all US clearing corporations and depositories.
The firm's highly automated clearing and settlement systems interface with
the Depository Trust Company, the Options Clearing Corporation, and the National
Securities Clearing Corporation, of which Bernard Madoff is a past chairman.
The firm's systems also interface fully with the systems of all major global
custodians and clearing & Settlement systems.
Madoff
Securities' extensive network of relationships with other
broker/dealers enables the firm to ensure timely delivery and
settlement of all client transactions.
Moreover, Madoff Securities'
computerized transaction processing means that the firm can customize client
reports and deliver them electronically in whatever format best meets the
needs of clients.
IMPORTANT INFORMATION
ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT
To help the government
fight the funding of terrorism and money laundering activities, Federal law
requires all financial institutions to obtain, verify, and record information
that identifies each person who opens an account.
What this means for
you: When you open an account, we will ask for your name, address, date of
birth and other information that will allow us to identify you. We may also
ask to see your driver’s license or other identifying documents.
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Sophisticated Disaster Recovery Facilities, Reflects
the Attention to Every Detail
Madoff
Securities has one of the most sophisticated disaster recovery
facilities found anywhere in the securities industry. In
addition to its offices in Manhattan, Madoff Securities
maintains a fully equipped and staffed facility located near
LaGuardia Airport. This office duplicates all of the features of
the primary Madoff Securities offices. Madoff Securities'
disaster recovery facility is not just an alternative trading
room, but rather a full-fledged office which is equipped to
receive and transact orders and to handle the clearing and
settlement process as well.
Under the
supervision of a facilities manager, this unique on-line
facility is tested continuously to ensure that it is prepared to
take over the firm's operations if any kind of disaster were to
affect the Manhattan office. Members of the firm's staff are
rotated through the facility and regularly perform their work
from it. Thus, there is always staff on hand in case disaster
strikes at the firm's main office.
The
disaster recovery facility is on a different electric power grid
than the main office, and it is served by a different telephone
central office. The facility also has its own electrical
generator.
Since
this facility was created in 1992, it has been used as an
adjunct to Madoff Securities' main office, and it has not been
confronted with a major emergency. But the existence of this
facility testifies to the high priority the firm places on being
available to meet the needs of its clients under all conditions.
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The
Owner's Name is on the Door
In an era of faceless organizations
owned by other equally faceless organizations, Bernard L. Madoff Investment
Securities LLC harks back to an earlier era in the financial world: The owner's
name is on the door. Clients know that Bernard Madoff has a personal interest
in maintaining the unblemished record of value, fair-dealing, and high ethical
standards that has always been the firm's hallmark.
Bernard L. Madoff founded
the investment firm that bears his name in 1960, soon after leaving law school.
His brother, Peter B. Madoff, graduated from law school and joined the firm
in 1970. While building the firm into a significant force in the securities
industry, they have both been deeply involved in leading the dramatic transformation
that has been underway in US securities trading.
Bernard L. Madoff has
been a major figure in the National Association of Securities Dealers (NASD),
the major self-regulatory organization for US broker/dealer firms. The firm
was one of the five broker/dealers most closely involved in developing the
NASDAQ Stock Market. He has been chairman of the board of directors of the
NASDAQ Stock Market as well as a member of the board of governors of the NASD
and a member of numerous NASD committees.
One major US financial
publication lauded Bernard Madoff for his role in "helping to make NASDAQ
a faster, fairer, more efficient and more international system." He has also
served as a member of the board of directors of the Securities Industry Association.
Reflecting the growing international involvement
of the firm, when Madoff Securities opened a London office in 1983, it would
become one of the first US members of the London Stock Exchange. Bernard Madoff
was also a founding member of the board of directors of the International
Securities Clearing Corporation in London.
Peter B. Madoff has also
been deeply involved in the NASD and other financial services regulatory organizations.
He has served as vice chairman of the NASD, a member of its board of governors,
and chairman of its New York region. He also has been actively involved in
the NASDAQ Stock Market as a member of its board of governors and its executive
committee and as chairman of its trading committee. He also has been president
of the Security Traders Association of New York. He is a member of the board
of directors of the Depository Trust and Clearing Corp. He is a member of
the board of the Securities Industry Association.
Bernard
and Peter Madoff have both played instrumental roles in the
development of the fully computerized National Stock Exchange.
Peter Madoff has been a member of its board of governors and has
served on its executive committee. They have helped make the
National Exchange the fastest growing regional stock exchange
in the United States.
These
positions of leadership not only indicate the deep interest
Madoff Securities has shown in its industry, they also reflect
the respect the firm and its management have achieved in the
financial community.
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