Jones FA and "Satellite" Office

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lambda's picture
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Joined: 2005-07-20

How does Jones feel about an FA having a second office (whether Jones knows about it or not) outside of their primary and seconday market area?

MISS JONES's picture
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Joined: 2007-08-28

lambda wrote:How does Jones feel about an FA having a second office (whether Jones knows about it or not) outside of their primary and seconday market area?
 
Not going to happen. Your branch is already a satellite office...

Spaceman Spiff's picture
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Joined: 2006-08-08

We actually have at least one instance that I know of where a situation like that exists.  But, the guy has the 401K of a Fortune 500 company.  That company has put an office in their headquarters for him.  He was there so often, Jones finally gave him permission to do it. 
 
Normally, MJ is correct. 

lambda's picture
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Joined: 2005-07-20

Thanks guys.  I came upon an area (other than my own primary market) that is rapidly growing residentially and commercially.  There are no visible financial services available anywhere in the area, maybe because its mostly industrial buildings.  However, many of the old factories are being converted to office space and high end condos.  I think there is opportunity there.

babbling looney's picture
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Joined: 2004-12-02

There is nothing stopping you from prospecting and getting clients anywhere in the states you are licensed in.  It doesn't have to be your primary area.  I have clients who live thousands of miles away and in other states. 
 
You just aren't supposed to set up another "official" office for yourself.   Pick a spot that would be convenient to hold seminars or a nice meeting area for your unoffical visits.
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lambda's picture
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Joined: 2005-07-20

So it would be ok if a friend of mine just so happens to have an open desk at his office for me to meet clients in that area, as long as I don't slap on the EJ shingle next to his name?

Spaceman Spiff's picture
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Joined: 2006-08-08

If you spend a lot of time doing that it could be construed that you are setting up a satellite office and therefore get compliance down your back.  The issue isn't that they don't want to to do the business or get the clients.  The issue is a supervision one.  Anywhere you do work from technically has to be disclosed and is open for an audit either by Jones or FINRA.  So, if you work from home, technically FINRA can come by and check out your house for anything they want.  There's also a confidentiality issue with your buddy's office.  Run it by your compliance officer when you get one. 

lambda's picture
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Joined: 2005-07-20

Thanks....just trying to get the wheels turning...albeit slowly...

jamesbond's picture
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Joined: 2005-03-21

if your friend works for another financial services firm whether it be insurance, accounting, or brokerage the answer is no. I understand what you are trying to do but you are on the fast track to getting fired if you try and even give the appearance that you have an office other than the registered location.

Broker24's picture
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Joined: 2006-10-12

Sounds corny, but what about joing the Chamber of Commerce and using their meeting room facility for client meetings?  If it's nice, and it is presented to clients that right way, it might work.  But you cannot set up any type of permanent office unless it is registered.  That is a FINRA rule, not a Jones rule (though it is also a Jones rule by extension).  And I am sure, barring the above situation, that Jones will not open another office for you.

DRAPALA's picture
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Joined: 2006-01-14

Lamedu,
 
If you ask that question on here you get various opinions - if you call your compliance dept. and get an Answer. Do that before you invest your time and effort. 

2legit2quit's picture
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Joined: 2008-06-22

I just had an audit from Home office, and one of their questions is do you meet outside the office, (regularly) with clients.  They frown if you are meeting on a regular basis in an office that is not a Jones office.  They are watching for people who are setting up their own shop.  

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