Defendant Name: HSBC Securities (USA) Inc.

Defendant Type: Subsidiary of Public Company

Document Reference: 34-88387-s

Document Details

Legal Case Name In the Matter of HSBC Securities (USA) Inc.
Document Name SEC Charges HSBC Securities for Misleading Retail Clients On Adviser Compensation
Document Date 16-Mar-2020
Document Format Administrative Proceeding
File Number 3-19730
Allegation Type Investment Advisers/Investment Companies
Document Summary The SEC stated that: "[It] settled charges against HSBC Securities (USA) Inc. for making misrepresentations to its retail clients regarding how it compensated its dually registered investment adviser and broker representatives (IARs)."

Disgorgement & Penalty Information

Resolutions
Cease and Desist Order
Censured
Monetary Penalties:

Civil Penalty

Individual:     $725,000.00 Shared:    

Related Documents:

34-88387 16-Mar-2020 Administrative Proceeding
Corrected Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Section 15(b) of the Securities Exchange Act of 1934 and Sections 203(e) and 203(k) of the Investment Advisers Act of 1940, Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order
On March 16, 2020, the SEC instituted settled administrative and cease-and-desist proceedings against HSBC Securities (USA) Inc. The SEC stated: "This matter arises out of misrepresentations regarding how HSBC Securities compensated dual-registered investment adviser representatives (“IARs”) in its Retail Banking and Wealth Management business. Between November 2015 and August 2017, HSBC Securities made false and misleading statements to current and prospective advisory clients and failed to disclose conflicts of interest concerning the factors HSBC Securities used to determine compensation for its IARs."