Important Legal Disclosures

Payment For Order Flow

This notice provides information about the order routing policies of the firm.

First and foremost, the firm's order routing decisions are based on overriding principle of best execution.

Currently the firm has deemed it appropriate not to accept compensation or non-cash remuneration credits towards expenses charged by market centers or reciprocal business arrangements involving the firm's stock layoff business and specialist units.

The firm routes most of its orders for listed equities and over-the-counter equities to established market participants and clears all trades through its clearing firm on a fully disclosed basis. Trades executed through the firm, both on listed and unlisted stocks may have the opportunity for price improvements (execution at prices superior to the displayed national best bid or offer).

SEC Rule 606 (Report on Routing of Customer Orders)

Global Crown Capital, LLC has prepared this report for itself pursuant to a U.S. Securites and Exchange Comission rule requiring all brokerage firms to make available to the public quarterly reports about their order routing practices.

The report provides information on the routing of "non-directed orders" – any order that the customer has not specifically instructed to be routed to a particular venue for execution. For these non-directed orders, Global Crown Capital, LLC has selected the execution venue on behalf of its customers.

The report is divided into four sections:

  1. New York Stock Exchange listed securities.
  2. NASDAQ Stock Exchange listed securities.
  3. American Stock Exchange and regional exchange listed securities.
  4. Exchange listed options.

For each section, this report identifies the venues most often selected by Glboal Crown Captial, LLC stes for the percentage of various types of orders routed to the venues, and discusses the material aspects of Global Crown Captial's relationship with the venues.

Questions regarding this report should be addressed to the Global Crown Capital, LLC Compliance Department.

Pursuant to SEC Rule 606, the firm's report can be found at the following URL(s):

NASD Rule 2341 - Margin Disclosure Statement

The firm is furnishing this document to you to provide some basic facts about purchasing securities on margin, and to alert you to the risks involved with trading securities in a margin account. Before trading stocks in a margin account, you should carefully review the margin agreement provided by the firm. Consult the firm regarding any questions or concerns you may have with your margin accounts.

When you purchase securities, you may pay for the securities in full or you may borrow part of the purchase price from the firm's clearing firm. If you choose to borrow funds from us, you will open a margin account with the firm. The securities purchased are the firm's collateral (along with its clearing firm) for the loan to you. If the securities in your account decline in value, so does the value of the collateral supporting your loan and, as a result the firm or its clearing firm can take action, such as issue a margin call and/or sell in ANY of your accounts held with the firm, in order to maintain the required equity in the account.

It is important that you fully understand the risks involved in trading securities on margin. These risks include the following:

  • You can lose more funds than you deposit in the margin account. A decline in the value of securities that are purchased on margin may require you to provide additional funds to the firm and/or its clearing firm which has made the loan to avoid the forced sale of those securities or other securities in your account(s).
  • The firm and/or its clearing firm can force the sale of securities in your account(s). If the equity in your account falls below the maintenance margin requirements of the firm's higher "house" requirements, the firm can sell the securities in any of your accounts held at the firm to cover the margin deficiency. You will also be responsible for any shortfall in the account after such a sale.
  • The firm and/or its clearing firm can sell your securities without contacting you. Some investors mistakenly believe that a firm must contact them for a margin call to be valid, and that the firm cannot liquidate securities in their accounts to meet the call unless the firm has contacted them first. This is not the case. Most firms will attempt to notify their customers of margin calls, but they are not required to do so. However, even if a firm has contacted a customer and provided a specific date by which the customer can meet a margin call, the firm can still take necessary steps to protect its financial interest, including immediately selling the securities without notice to the customer.
  • You are not entitled to choose which securities in your account(s) are liquidated or sold to meet a margin call. Because the securities are collateral for the margin loan, the firm and/or its clearing firm has the right to decide which security to sell in order to protect its interests.
  • The firm and/or its clearing firm can increase its "house" maintenance margin requirements at any time and is not required to provide you advance written notice. These changes in firm policy often take effect immediately and may result in the issuance of a maintenance margin call. Your failure to satisfy the call may cause GCC and/or its clearing firm to liquidate or sell securities in your accounts.
  • You are not entitled to an extension of time on a margin call. While an extension of time to meet margin requirements may be available to customers under certain conditions, a customer does not have a right to the extension.

Important information regarding Global Crown Capitals Business Continuity Plan