Puritan launches brokerage to support in-house RIA

FWR Staff

22 January 2008

Texas-based insurance provider plans to extend investor-service operations. Dallas-based insurance agency Puritan Financial has launched of a retail investment-service division made up of Puritan Brokerage Services, a broker-dealer, and Puritan Investment Advisors, an RIA. Puritan Brokerage, a brand-new business, will provide introducing broker-dealer services; Puritan Investment Advisors provides investment-advisory services.

The new brokerage unit will offer a range of investment products such as stocks, bonds, mutual funds, options, variable life, variable annuities, U.S. treasuries and certificates of deposit.

Unsolicited orders

Opening a broker-dealer "is a logical step for us, and a part of our overall business plan," says Scott Brooks, president and chief compliance officer for Puritan Brokerage. "We can now assist clients with all their brokerage needs in addition to the services already provided by our insurance and investment-advisory affiliates."

Puritan Brokerage will accept unsolicited orders from existing Puritan clients without offering advice or recommendations. It will follow a low-risk business strategy and will maintain its general securities accounts at Dallas-based third-party clearing firm Southwest Securities.

Puritan Investment Advisors is registered only in Texas right now, but it's seeking registration in other states and with the SEC.

D.M. Moore, chairman and president of Puritan Financial, will serve as CEO of both investor-service units.

Puritan Financial is headquartered in Dallas, Texas, and has branch offices in Louisiana, Oklahoma, Tennessee, Kentucky, Indiana and Pennsylvania and in Houston, Texas.-FWR

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