# PTI SECURITIES & FUTURES L.P. X-17A-5 (2023-02-28) — Broker-dealer annual report - Company: PTI SECURITIES & FUTURES L.P. - Form: X-17A-5 - Filed: 2023-02-28 - Period: 2022-12-31 - Accession: 0000882308-23-000001 - CIK: 882308 - File #: 8-44412 - Type: Broker-dealer - Material weakness: Yes - Auditor: Ryan & Juraska - Auditor location: Chicago, IL - Contact: Daniel J Haugh - Phone: 3126633052 - Email: dan@ptibecurities.com - Website: ptibecurities.com - Signed by: Daniel J Haugh (President) Original filing: https://www.sec.gov/Archives/edgar/data/882308/000088230823000001/ptiauditconfidential.pdf --- {0}------------------------------------------------ ### PTI SECURITIES & FUTURES L.P. AND SUBSIDIARY FINANCIAL STATEMENT AND SUPPLEMENTAL SCHEDULES PURSUANT TO SEC RULE 17A-5(d) AND REGULATION 1.10 UNDER THE COMMODITY EXCHANGE ACT ' December31,2022 . Availabte for Public lnspection {1}------------------------------------------------ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C.20549 > ANNUAL REPORTS FORM X-17A-s PART III OMB Number: 3235-0123 Expires: Oct. 3t,2023 Estimated average burden hours per response: I 2 > SEC FILE NUMBER 8-44412 | | FACING PAGE
lnformation Required Pursuant to Rules !7a-5, L7a-tl, and 18a-7 under the Securities Exchange Act of 1934 | | | |---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------|-----------------|------------| | | | | 121311204 | | FTLTNG FoR rHE pERroD BEGTNNTNG 01 l0 1 12022 | MM/DD/YY | AND ENDTNG | MM/DD/YY | | | A. REGISTRANT IDENTIFICATION | | | | NAMEoFT,*r. | PTI Securities & Futures L.P. and Subsidiary | | | | TYPE OF REGISTRANT (check all applicable boxes):
E Broker-dealer [J Security-based swap dealer D fUalor security-based swap participant
I Check here if respondent is also an OTC derivatives dealer
ADDRESS oF PRINCIPAL PLACE bf guStNfSS: (Do not use a P.O. box no.)
411 South Wells Street STE 900 | | | | | | (No. and Street) | | | | Chicago | IL | | 60607 | | (city) | (State) | | (ZiP Code) | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | Daniel J. Haugh | 31 2-663-3052 | d an @pitisecu | rities.com | | (Name) | (Area Code - Telephone Number) | (Email Address) | | | | B. ACCOUNTANT IDENTIF!CATION | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing*
Ryan & Juraska - Certified Public Accountants | | | | | | (Name - if individual, state last, first, and middle name) | | | | 141 W Jackson | Chicago | IL | 60604 | | (Address) | (City) | (State) | (zip code) | | 3t2412009 | | 3447 | | | ration with PCAO
(Date of | | | | FOR OFFICIAL USE ONLY - Cluims for e\*emption from tfu rc nt itrai ifre annual reports be covered by the reports of an independent public accountantmustbesupportedbyastatementoffactsandcircumstancesreliedonasthebasisof theexemption. See17 CFR 240.17a-5(eXlXii), if applicable. persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number, {2}------------------------------------------------ ### OATH OR AFFIRMATION | | swear (or affirm) that, to the best of my knowledge and belief' the
l, D?nre!.,:I9!9! | |-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | iztii | as of
{q
firm of PTI Securities & Futures L.P.
finanCial fepoft peftaining tO the fifm Of ullsecurllles6,rutulesL'r'drruouun'urorv
,is trtre anA correct. lfurther swear (or affirm) that neither the company nor any
_,Zo2z | | | ip"','pi,.'thecasemaybe,hasanyproprietaryinterestinanyaccountclassifiedsolely | | | as that of a customer. | | | m,rll | | | GRE@TRMZYil8rc | | | NOTABYntr"E tlllt\$rrrB | | | MY c0l\$ffiEllE3:6fr&! | | | | | | | | | | | | | | | | | | This filing** contains (check all applicable boxes):
E (a) Statement of financial condition. | | | | | = | (b) Notes to consolidated statement of financial condition. | | | n (c) Statement of income (loss) or, if there is other comprehensive income in the period(s) presented, a statement of | | | comprehensive income (as defined in 5 210.1-02 of Regulation S-X)' | | | tr (d) Statement of cash flows. | | | n (e) Statement of changes in stockholders'or partners' or sole proprietor's equity' | | | n (f) statement of changes in liabilities subordinated to claims of creditors. | | | n (g) Notes to consolidated financial st'atements. | | = | CFR 240.18a-1,asapplicable'
(h)Computationdfnetcapitalunder17CFR240.15c3'7or!7 | | | D (i) Computation of tangible net worth under 17 CFR 240'18a-2' | | = | (j) computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240'15c3-3' | | | n (k) Computation for determination of secu rity-based swap reserve requirements pu rsuant to Exh ibit B to 17 CFR 240' 15c3-3 or | | | Exhibit A to 17 CFR 24O.t8a'4, as applicable.
: | | | n (l) computation for Determination of PAB Requirements under Exhibit A to 5 240:15c3-3' | | | (m) lnformation relating to possession or control requirements for customers under 17 CFR 240'15c3-3' | | = | n {n) lnformation relating to possession or control requirements for security-based swap customers under 17 CFR | | | 240,15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable' | | | (o) Reconciliations, including appropriate explanations, of the FocuS Report with computation of net capital or tangible net | | = | worthunderlTcFR 240.15c3-1,\7CFR 240.1ga-t,ort7cFR240.18a-2,asapplicable,andthereserverequirementsunderlT | | | cFR 240.15c3- 3 or 17 CFR 240.1ga-4, as applicable, if material differences exist, or a statement that no material differences | | | exist. | | | n (p) Summary of financial data for subsidiaries not consolidated. ih the statement of financial condition' | | | (q) Oath or affirmation in accordance with 17 CFR 240.17a-5, 17 cFR 740.77a'72, or 17 CFR 240'18a'7 ' as applicable' | | = | D (r) Compliance report in accorda nce with 17 CFR 240.17a-5 or 17 CFR 24O.l8a-7 , as applicable' | | | D (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 24O.t8a-7, as applicable' | | | (t) lndependent public accountant's report based on an examination of the statement of financial condition' | | = | tr (u) lndependent public accountant's report based on an examination of the financial report or financial statements under 17 | | | CFR 240.17a-5, 17 CFR 24O.t8a-7, or 17 CFR 240'77a'12, as applicable' | | | tr (v) lndependent public accountant,s report based on an examination of certain statements in the compliance report under 17 | | | CFR 240.17a-5 or 17 CFR 240.\8a'7, as applicable. | | | tr (w) Independent pu blic accou ntant's report based on a review of the exemption report u nder 17 CFR 240't7a-5 or t7 | | | cFR 240'18a'7' as applicable | | | r ,,^^^ ^.^^-n,rra< in rc
0.15c3-1 e or 17 cFR240.77a-12,
tr (x) supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 24 | | | | as appllcable. n (y) Report describing any material inadeq uacies found to exist or fou nd to have existed since the date of the previous a udit' or astatement that no material inadequacies exist, under t7 CFR240.77a-12(k)' X (z)other: \*\*To request confidentiol treotment of certoin portions of this filing, see 17 cFR 240.17a'5(e)(3) or 17 cFR 240'18o-7(d)(2)' os opplicoble. {3}------------------------------------------------ ![](_page_3_Picture_0.jpeg) RYAN&JURA.SKA LLP Certifi ecl Public Accountants 141 West ]ackson Boulevard Chicago, lllinois 60604 Tel: 31Z.92Z.0062 tax: 312.922.0672 ### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Paftners of PTI Securities & Futures L.P. and Subsidiary ### Opinion on the Financial Statement We have audited the accompanying statement of financial condition of PTI Securities & Futures L.P. and Subsidiary (the Partnership)as of December 31, 2022, and the related notes and supplemental schedules (collectively referred to as the financial statement). ln our opinion, the financial statement presents fairly, in all material respects, the financial position of PTI Securities & Futures L.P. and Subsidiary as of December 31,2022 in conformity with accounting principles generally accepted in the United States of America. ### Basis for Opinion This financial statement is the responsibility of the Partnership's management. Our responsibility is to express an opinion on the Partnership's financial statement based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Partnership in accordance with the U.S. federal securities laws and the applicable rules and regulations of th6 Securities and Exchange Commission and the PCAOB. We have served as the Partnership's auditor since 'l 999. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statement is free of material missiatement, whether due to error or fraud. Our audit included performing procedures to assess the risks of material misstatement of the financial statement, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statement. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statement. We believe that our audit provides a reasonable basis for our opinion. ### Auditor's Report on Supplemental lnformation The Supplemental Schedules (the "supplemental information") have been subjected to audit procedures performed in conjunction with the audit of PTI Securities & Futures L.P. and Subsidiary's financial statement. The supplemental information is the responsibility of PTI Securities & Futures L.P. and Subsidiary's management. Our audit procedures included determining whether the supplemental information reconciles to the financial statement or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. ln forming our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with 17 C.F.R. \$240.'l7a-5 and pursuant to Regulation 1.10 under the Commodity Exchange Act. ln our opinion, the Supplemental Schedules are fairly stated, in all material respects, in relation to the financial statement as a whole. 7y fl,r^r"'lz /L? Chicago, lllinois February 24,2023 {4}------------------------------------------------ ### PT!SECURITIES & FUTURES L.P. AND SUBSIDIARY ### Statement of Financial Condition ### December 31,2022 ### Assets | Cash
Receivable from broker-dealers
Commissions receivable
Receivable from affiliates | 246
100,000
11,706
9,445 | |------------------------------------------------------------------------------------------------|-----------------------------------| | | 121,397 | | Liabilities and Partners' Capital | | | Liabilities | | | Accounts payable and accrued expenses | 29,288 | | Deferred revenue | 21,008 | | Subordinated Loan | 125,000 | | | 175,296 | | | | | Partners' capital | | | General partner | (27,0e7) | | Limited partners | (26,802) | | | (53,899) | | | 121,397 | {5}------------------------------------------------ # PTTSECURITIES & FUTURES L.P. AND SUBSIDIARY ### Notes to Financial Statement ### December 31,2022 ### 1. Organization and Business pTl SECUR|TIES & FUTURES L.P. AND SUBSIDIARY (the "Partnership")was formed on Decemb er 11 ,1991 , pursuant to the Revised Uniform Limited Partnership Act of the State of lllinois. The Partnership is a single class limited partnership. The Partnership is a registered securities broker-dealer with the Securities and Exchange Commission and is-a member of the Financial lndustry Regulatory Authority. The Partnership is also registered with the Commodity Futures Trading Commission as a non-guaranteed lntroduiing Broker and is a member of the National Futures Association, The Partnership solicits and accepts orders to buy or sell equity transactions and futures contracts or options on futures while not accepting or holding customer margin deposits. These assets are held by the respective clearing broker. The Partnership's general partner shall have exclusive authority to manage, conduct, administer and control the Partnership's business. pTl Securities & F.utures L.P. has one wholly owned subsidiary, Wells Streeet Advisors, which is a Registered lnvestment Advisor (RlA) registered with the State of lllinois. Curently, Wells Street Advisors manages funds as a sub-advisor for a Chicago based RlA. #### Summary of Significant Accounting Policies 2. The Partnership's financial statement has been prepared in accordance with accounting principles generally accepted in the United States of America and is stated in U.S. dollars. The fdllowing-is a summary of the significant accounting policies used in preparing the financial statement: # Principals of Consolidation The consolidated financial statement includes the accounts of PTI Securities & Futures L.p. and Wells Street Advisors, (collectively, the "Partnership"). All significant intercompany balances have been eliminated. ### Revenue Recoqnition Comnassion revenuE and related expenses on futures and futures options contracts are recorded on a "half-turn" basis, which is the date when the futures contracts are opened or closed and when futures options contracts are purchased or sold. iommission revenue and related expenses on transactions cleared through lnteractive Brokers are recorded on a trade date basis. Commission revenue and related expenses on transactions cleared through RBC Capital Markets are recorded on a seitlement basis, and this has not changed from the prior year and Management determined this does not have a material effect on this statement. The Partnership recognized revenue in accordance with the Financial Accounting Standards Board Ac-ounting Standards Codification ("FASB ASC") Topic 606, Revenue from Contracts with Customers, effective January 1,2018. There were {6}------------------------------------------------ ## PTI SECURITIES & FUTURES L.P. AND SUBSIDIARY ## Notes to Financial Statement continued ### December 31,2022 ### 2. Summary of Significant Accounting Policies continued no material changes in its revenue recognition policies and no material impact on the financial statement as a result of the new standard. Revenue recognition for Wells Street Advisors investment advisor fees are recognized in the month that they are earned. ### Use of Estimatcs Thefreparatton of the financial statement in conformity with United States Generally Accepted Accounting Principles ('U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in the financial statement and the accompanying notes. Management determines that the estimates utilized in preparing its finaniiai statement are reasonable and prudent. Actual results could differ from these estimates. ### lncome Taxes The Partnership is a limited partnership with all taxable income or loss recorded in the incQme tax returns of the partners. Accordingly, no provision for income taxes has been made in the accompanying financial statement. ln accordance with U.S. GAAP, the Partnership is required to determine whether its tax positions are more likely than not to be sustained upon examination by the applicable iaxing authority, basei on the technical merits of thb position. Generally, the partnlrship is no longer subject to income tax examinations by major taxing authorities for the years before iOtg. Based on its analysis, there were no tax positions identified by management which did not meet the "more likely than not" standard as of and for the year ended December 31,2022. #### Financial lnstruments Credit Losses 3. ln June 2016 the FASB issued ASU 2010-13 Financial lnstruments - Credit Losses (Topic 326) ("ASU 2016-13',). This ASU amends several aspects of the measurement of credit losses on financial instruments including replacing the existing incurred credit loss model and other models with the Current Expected Credit Losses model ('CECL"). Under CECL, the allowance for losses reflects management's estimate of credit losses over the remaining expected life of the financial assets and expected credit losses for newly recognized financial assets, as well as changes to the expected credit losses during the -period, would be recognized in earnings. Expected credit losses will be measured based on historical experience, current conditions, and forecasts that affect the collectability of the reported amount, and will be generally recognized earlier than under current standards. The standard is effective for the Partnership for fiscal years beginning after December 15, 2019. The standard does not have a material impact on the Partnership's consolidated financial statement' {7}------------------------------------------------ # PTISECURITIES & FUTURES L.P. AND SUBSIDIARY ### Notes to Financial Statement, Continued December 31,2022 ### 4. Financial lnstrument Valuation Accounting Standards Codification 820 defines fair value, establishes a framework for measuring fair value, and establishes a fair value hierarchy which prioritizes the inputs to valuation techniques. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ln determining fair value, the Partnership uses various valuation approaches. A fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Partnership. Unobservable inputs reflects the Partnership's assumption about the inputs market participants wouid use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy prioritizes is categorized into three levels based on the best information available in the circumstances. - . Level 1 Valuation is based on quoted prices iri active markets for identical assets or liabilities as the reporting date' - . Level 2 Valuation is based on other than quoted prices included in Level 1 that are observable for substantially the full term of the asset or liability, either directlY or indirectlY. - . Level 3 Valuation is based on unobservable inputs for value of the asset or liability. Level 3 assets include investments for which there is little, if ?ny, market activity. Theqe inputs require significant management judgment or estimation. The availability of valuation techniques and observable inputs can vary from investment to investment and is affected by a wade variety of factors, including, the type of investment, whether the investment is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that the valuation is based on models or inputs that are less unobservable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a rea-dy market foi th-e investments existed. Accordingly, the degree of judgment exercised by the Partnership in determining fair value is greatest for investments {8}------------------------------------------------ ## PTISECURITIES & FUTURES L.P. AND SUBSIDIARY ### Notes to Financial Statement, Continued ### December 3'1,2022 ### 4. Financial lnstrument Valuation continued categorized in Level 3. ln certain cases, the inputs used to measure fair value may fall into different levels in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement. At December 31 , 2022lhe Partnership held no Level 1 , Level 2 or Level 3 investments. #### Clearing Agreements 5. The Partnership has entered into fully disclosed clearing agreements with RBC Capital Markets ("RBC") and Interactive Brokers LLC ("lB'). The Partnership, under Rule 15c3-3(kX2)(ii), is exempt from the reserve and possession or control requirements of Rule 15c3-3 of the Securities and Exchange Commission. The. Partnership does not carry or clear customer accounts. Accordingly, all customer transactions are executed and cleared on behalf of the Partnership by its clearing brokers on a fully disclosed basis. The Partnership's agreement by it's clearing brokers provide that as clearing brokers, the firms will make and keep such records of the transactions effected and cleared in the customer accounts as are customarily made and kept by a clearing broker pursuant to the requirements of Rules 17a-3 and 17a-4 of the Securities and Exchange Act of 1934, as amended (the "ACT"). They also perform all services customarily incident thereon, including the preparation and distribution of customer's confirmation and statements and maintenance margin requirements under the Act and the rules of the Self-Regulatory Organizations of which the Partnership is a member. #### Guarantees 6. Accounting Standards Codification 460 ("ASC 460"), Guarantees, requires the Partnership to disclose information about its obligations under certain guarantee arrangements. ASC 460, defines guarantees as contracts and indemnification agreements that contingently require a guarantor to make payments to the guaranteed party based on changes in underlying (such as an interest or foreign exchange rate, security or commodity price, an index or the occurrence or nonoccurrence of a specified event) related to an asset, liability or equity security of a guaranteed party. This guidance also defines guarantees as contracts that contingently require the guarantor to make payments to the guaranteed party based on another entity's failure to perform under an agreement, as well as indirect guarantees of the indebtedness of others. ## Other Guarantees Customer transactions are introduced to and cleared through the Partnership's brokers on a fully disclosed basis. Under the terms of its clearing agreements, the Partnership is required to guarantee the performance of its customers in meeting contracted {9}------------------------------------------------ # PTt SECURITIES & FUTURES L.P. AND SUBSIDIARY # Notes to Financial Statement, Continued ### December 31,2022 ### 6. Guarantees continued obligations. ln conjunction with the broker, the Partnership seeks to control the riski associated with its customer activities by requiring customers to maintain collateral in compliance with various regulatory and internal guidelines and, pursuant to such guidelines, customers may be required to deposit additional collateral, or reduc6 positions, where necessary. The maximum potential amount of future payments that the Partnership could be required to make under these guarantees cannot be estimated. However, the Partnership believes that it is Inlikely it will have to make material payments under these arrangements and has not recorded any contingent liability in the financial statement. #### Credit Risk 7. Commissions receivable and receivable from broker-dealers represent a concentration of credit risk and amounted to \$110,066 with one of the Partnership's clearing brokers as of December 31 ,2022. The Partnership does not anticipate nonperformance by its customers or brokers. ln addition, the Partnership has a policy of reviewing, as considered necessary, the creditworthiness of the brokers with which it conducts business. #### Related Party Transactions 8. As of December 31 ,z[zzthere was \$9,445 of receivabtei from affiliated companies. This amount represents \$8,750 from NKH lnc. and \$695 from Haugh lnc. of expenses that were paid by the Partnership on behalf of these affiliated companies. As of December 31, 2022 there was also a payable to the president .of the Partnership totaling \$13,100 and a payable to the Chief Executive Officer of \$13,100 which were included in the accounts payable and accrued expenses on the statement of financial condition. The Partnership'also had a \$125,000 subordinated loan with one of the limited partners (see note 12). #### Net Capital Requirements 9. pursuant to the net capital provisions of Rule 15c3-1 of the Securities Exchange Act of 1934, the Partnership is required to maintain minimum net capital, as defined, equal to the greater of \$5,OOO or 6 2l3o/o of aggregate indebtedness (superseded by the NFA minimum of \$45,000). At December 31 ' 2022 the iartnership ha'd net capital of \$81,319, which was \$36,319 in excess of the required minimum net capital. The Partnership's net capital .ratio ,(aggregate indebtedness to net capitai) was.618 to 1. The Partnership is also subject to the net capital rules of the NFA. The Partnership is required to maintain a minimum net capital'under the NFA rules of \$45,000. Under these rules, the Partnership had excess net capital of \$36,319. {10}------------------------------------------------ # PTI SECURITIES & FUTURES L.P. AND SUBSIDIARY ### Notes to Financial Statement, Continued ### December 31,2022 # 10. Uncertainty - Going Concern As was highlighted in the previous year's financial statement, during December 2.016 pTl signed an agreement io extend the clearing agreement with RBC Capital Markets and reieived a signing bonus. The Partnership was required to account for this bonus as a liability to Oe amortized over the life of this contract extension and this treatment resulted in the Partnership being placed into a negative equity position as of the date of that agreement. For the yeai ended Decembe"r 31, 2022, the Partnership remains in a negitive equity position of (\$53,899). Although the Partnership is in compliance with the net capitai rule (see note 9), regulatory authorities are rather arbitrary with negative equity situations and may require the Partnership to contribute additional capitat if the firm was to experience losses for any significant period of time' #### Subsequent Events 11. The Partnership's management has evaluated all events and transactions through February 23,2023, the dite the financial statement was available to be issued, noting no mateiial events requiring disclosure in the Partnership's financial statement' #### Subordinated Loan 12. On March S,2O2O, the Partnership entered into a subordinated loan agreement with one of the Partners in the amount of \$125,000. This loan was retired and reissued in May of 2022for an additionalthree years and now matures May 25,2025 and carries an annual interest rate of 6%. l pursuant to the terms of the agreement, the note renews for one year upon maturity, unless notified othenruise in andvance by the note holder. Notification by the note holder not to renew must be made thirteen months in advance of a maturity date. At December 31,2022 the balance was \$125,000 and is included on the statement of financial condition. The subordinated borrowing is covered by an agreement approved by FINRA and the NFA thus available in computing net capital. Under certain circumstances and with prior permission from FINRA and the NFA, the Partnership may, at its option, make a payment of all or any portion of the principal amount prior to the maturity date at any time subsequent to one year from the effective date of the agreement. #### Lease Commitment 13. The partnership conducts its operations in leased office facilities and annual rentals are charged to current operations. {11}------------------------------------------------ # PTISECURITIES & FUTURES L.P. AND SUBSIDIARY Notes to Financial Statement, Continued ### December 31,2022 # 13. Lease Commitment contnued The Partnership also sublets office space to a third party on a month to month basis. ln June 2022, the Partnership signed a lease extension until May 31, 2023 and as of December 31,2022 remaining lease obligations until lease termination were \$14,095. The Partnership recognizes leases in accordance wth Financial Accounting Standards Codification ("FASB ASC') Topic 842, Leases. This guidance requires public business entities to recognize a right-of-use asset and a lease liability in the statement of financial condition. The Pirtnership has elected an exemption to this guidance for its short term office lease of less than twelve months and recognizes the lease payment on a straight-line basis over the remaiing life. Management believes the impact of Topic 842 and the election of the exemption has no material impact on its financial statement. {12}------------------------------------------------ SUPPLEMENTAL SCHEDULES {13}------------------------------------------------ ### FINANCIAL AND OPERATIONAL COMBINED UNIFORM SINGLE REPORT PART III BROKER OR DEALER: pTl SECUR|IES & FUTURES L.p, AND SUBSIDIARY as of December 31. 2022 T ### COMPUTATION OF NET CAPITAL | 1. | Totalownership equity (from statement of Financial condition - item 1800)
Deduct Ownership equity not allowable for net capital """""""" ' | | | \$ (53,899) [3480]
--5(53€ee | t349Ol | |----------|-----------------------------------------------------------------------------------------------------------------------------------------------|---------|----|---------------------------------|--------| | 2.
J. | Total ownership equity qualified for net capital ',""" | | | | t35ool | | 4 | Add:
A. Liabilities subordinated to claims of general creditors allowable in computation of net capital""""" " | | -- | 125,000 [3520]
21.008 t35251 | | | | B. Other (deductions) or allowable credits (List) """ ' | | | --5--l7Jog | issso: | | 5. | Total capital and allowable subordinated liabilities | | | | | | 6 | Deductions and/or charges:
A. Total non-allowable assets from statement of Financial condition
\$ 10,790
(See detail below) | [3540] | | | | | | 1. Additional charges for customers' and non-customers' security accounts. | [3550] | | | | | | 2. Additional charges for customers' and non-customers' commodity | [3560] | | | | | | accounts. | [3570] | | | | | | B. Aged fail-to-deliver
"'.'."" "'-
1. Number of items
[3450] | | | | | | | c. Aged short security differences-less reserved of - [3470] | [3580] | | | | | | " """ "" """ " " """
numberof items""""' | | | | | | | Secured demand note deficiency ''. " | [35e0] | | | | | | D
-[3470]
commodity futures contracts and spot commodities proprietary capital | [3600] | | | | | | E
charges | | | | | | | F. Other deductions and/or charges '.'' | [3610] | | | | | | G. Deductions for accounts carried under Rule 15c3-1(a)(7) and (cx2xx) | t36151 | | | | | | H. Total deduction and/or charges | | \$ | (10,790) [3620] | | | | | | | | t36301 | | 7. | | | | --- \$81319 | t364ol | | 8.
I | | | | | | | | A. Contractual securities commitments | [3660] | | | | | | B. Subordinated securities borrowings | t36701 | | | | | | C. Trading and lnvestment securities | | | | | | | 1.Ban-kers'acceptances,certificatesofdepositandcommercialpaper'' | [3680] | | | | | | 2. U.S. and Canadian government obligations | [36e0] | | | | | | 3. State and municipal government obligations | [3700] | | | | | | 4. Corporate obligations ,' | [3710] | | | | | | 5. Stocks and warrants | 13720) | | | | | | 6. Options | [3730] | | | | | | | 13732]j | | | | | | 7. Arbitrage | 137341 | | | | | | 8. Other securities | [36s0] | | | | | | D. Undue concentration | [3736] | | | [3710] | | | E. Other (MoneY Market) | | \$ | 81
,319 | [3750] | | 10. | Net Capital | | | OMIT PENNIES | | ### Non-Allowable Assets (line 6.A): | Receivable from affiliates | \$
9,445 | |----------------------------|-------------| | Cash | \$66 | | Commission Receivable | 1,279 | | | \$ 10,790 | - {14}------------------------------------------------ ### FINANCIAL AND OPERATIONAL COMBINED UNIFORM SINGLE REPORT PART III | COMPUTATION OF BASIC NET CAPITAL REQUIREMENT
Part A
3,353 [3756
11. Minimum net capital required (6-213% of line 19) .'
l
Minimum dollar net capital requirement of reporting broker or dealer and minimum net capital
12
[3758
45,000
requirement of subsidiary computed in accordance with Note (A)
l
45,000
[3760
Net capital requirement (greater of line 1 1 ot 12)
'13.
l
36,319
13770
Excess net capital (line 10 less 13)
14.
l
27,319
[3780
Net capital less greater of 10o/o of line 19 or 120o/o of line 12
15.
l
INDEBTEDNESS
COMPUTATION OF AGGREGATE
50,296 [37e0]
\$
Total A.l. liabilities from Statement of Financiat Condition
16.
Add:
17.
[3800]
A. Drafts for immediate credit
B. Fair value of securities borrowed for which no equivalent
[3810]
value is paid or credited
[3830]
[3820]
C. Other unrecorded amounts (Lis\$ '
[3838]
Deduct: Adiustment based on deposits in Special Reserve Bank Accounts ('15c3-1 (c) (1) (vli))
18.
50,296
[3840]
Total aggregate indebtedness
19.
[3850]
61 .85o/o
Percentage of aggregate indebtedness to net capital (line 19 + by line 10)
20.
t386ol
Percentage of OeOt to debt-equity total computed in accordance with Rule 15c3-1(d) i
21.
COMPUTATION OF ALTERNATE NET CAPITAL REQUIREMENT
Part B
22. 2% of combined aggregate debit items as shown in Formula for Reserve Requirements pursuant
to Rule .l 5c3-3 pr"-pir"-O as of the date of the net capital computation including both brokers or
t3B70l
dealers and consolidated subsidiary debits
23. Minimum dollar net capital requirement of reporting broker or dealer and minimum net capital
requirement of subsidiary computed in accordance with Note (A) '
t3B80l
"" '
[3760]
24. Netcapital requirement(greater of line22 or23)'." '
[3e10]
25. Excess net capital (line 10less 24)
[3851]
26. Percentage of Net capital to Aggregate Debits (line 10 - by line 17 page 8) '
27.
percentage of Net Capital, after anticipated capital withdrawals, to Aggregate Debits
[3854]
(line 10 less item 4880 page 1 1 + by line 17 page 8)
[3e20]
2g. Net capital in excess of: the greater of: A. 5% of combined aggregate debit items or \$1 20,000
OTHER RATIOS
Part C
[3860]
29. percentage of debt to debt-equity total computed in accordance with Rule 1 5c3-'t (d)
Options deductions/Net Capital ratio (1000% test) total deductions exclusive of liquidating equity
30.
under Rule 15c3-1(a)(6), (a)(7) and (cX2)(x) * Net Capital
[3852] | BROKER OR DEALER: Prl SECURITIES & FUTURES L'P' AND SUBSIDIARY | as of December 31' 2022 | | |-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------|-------------------------|--| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | NOTES: A. The minimum net capital requirement should be computed by adding the minimum dollar net capital requirement of the reporting broker dealer and, for each subsidiary to be consolidated, the greater of: 1. Minimum dollar net capital requirement, or 2. 6-213% of aggregate indebtedness or 2o/o of aggregate debits if alternate method is used. B. Do not deduct the value of securities borrowed uriO-er iubordination agreements or secured demand notes covered by subordination agreements not in satisfactory torm and the fair values 6f memberships in exchanges contributed for use of partnership (contra to item 1740) and partners securities which were included in non-allowable assets' c. For reports filed pursuant to paragraph (d) of Rule 17a-5, respondent should provide a list of material non-allowable assets Note: There are no material diirerences between the audited computation of net capital and the Partnership's unaudited Focus report as filed {15}------------------------------------------------ # PTI SECURITIES & FUTURES L.P. AND SUBSIDIARY Computation for Determination of Reserve Requirements Pursuant to Rule 15c3-3 ### December 31,2022 The partnership did not handle any customer cash or securities during the year ended December 31 ' 2022 and does not have any customer accounts. The partnership is exempt from thJ provisions of the rule15c3-3 of the securities Exchange Act of 1g34 under paragraph (kx2xii). 'Accordingly, there are no items to report under the requirements of this rule. # PTI SECURITIES & FUTURES L.P. AND SUBSIDIARY lnformation Relating to Possession or Control Requirements pursuant to Rule 15c3'3 December 31,2022 The partnership did not handle any customer cash or securities during the year ended December 31,2022 and does not have any customer accounts. The partnership is exempt from thJ provisions of the rule15c3-3 of the securities Exchange Act of 1g34 under paragraph (k)(2xii). 'Accordingly, there are no items to report under the requirements of this rule. {16}------------------------------------------------ | NAME OF PARTNERSHIP | I EMPLOYER lD NO: | I NFA lD NO: | |-------------------------------------------------|-------------------|--------------| | PTI SECURITIES & FUTURES L.P. AND
SUBSIDIARY | I 36-3797795 | 0244522 | ### CFTC FORM 1-FR-IB STATEMENT OF THE COMPUTATION OF THE MINIMUM CAPITAL REQUIREMENTS AS OF 12t31t22 | 1' | current assets " " " " | | | | \$1 10'607 t30001 | | |----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------|------------------|----------------------------------------------------------|--------------------|------------------| | 2' | Totalliabilities""""' | | \$175'296 [3030] | | | | | 3. | Deductions from total liabilities
A. Liabilities subject to satisfactory
Subordinated agreements
(page 3, line 19.A)
125,000 t30401
B. Deferred lncome
------ 4J)\$l tqosol
C.
D. Long term debt pursuant to
Regulation 1.1 7(c)(aXvi).
E. Total deductions
F. Adjusted liabilities | [3060]
[3070] | 146,008 [3080] | | \$ (29,288) t3oeol | | | 4. | Net capital (subtract line 3.F. from line 1)
Charqes Aqainst Net Capital (see requlation 1 .1 7(c)(5)) | | | | \$81 .319 t31001 | | | 5. | Charges against"inventories held, fixed price commitments, and advances
against cash commodity contracts (see regulation 1 .17(c)(sXi) and (ii)
for specific charge. lf charge is applicable, attach statement
Showing calculation of charge) | | | | | [3155] | | 6. | Charges as specified in section 240.15c3-1(c)92)(vi) and (vii)
against securities owned by firm:
FAIR
VALUE | | CHARGE | | | | | | A. U.S. and Canadian government obligations
B. State and Municipal government obligations
C. Certificates of deposit, commercial paper
and bankers' acceptances.
D. Corporate obligations
E. Stocks and warrants
F. Other securities (money market)
G. Total charges (add lines 6.A. - 6.F) | [3160] _
[3180]
[3200]
132201 _
132401
[3260] | | [3170]
[31e0]
[3210]
[3230]
[3250]
132701 | | [3280] | | 7. | Charges as specified in section 240.15c3-1(c)(2)(iv)(F)
A. Against securities purchased under agreements to resell
B. Against securities sold under agreements to repurchase | | | | | [32e0]
[3300] | | 8. | Charges on securities options as specified in section 240.15c3-1. Appendix A | | | | | [3310] | | | Current Assets:
Cash
\$
180 | | | | | | | Receivable from broker-dealers | 100,000 | |--------------------------------|---------| | Commissions receivable | 10,427 | | | | \$ 1 10,607 {17}------------------------------------------------ | | NAME OF PARTNERSHIP | EMPLOYER ID NO: | NFA ID NO: | | | |-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------|------------|--------------|------------------| | | PTISECURITIES & FUTURES L.P. AND | 36-3797795 | 0244522 | | | | | STATEMENT OF THE COMPUTATION OF THE MINIMUM CAPITAL REQUIREMENTS | CFTC FORM 1-FR-IB
AS OF 'l-2131122, Continued | | | | | | Charges against open commodity in the lB's account
A. Uncoveied exchange{raded futures and granted options contracts
percentage of margin requirements applicable to such contracts"' | | | | 133501 | | | B. Ten percent (10%) of the fair value of commodities which
underlie commodity options not traded on a contract market
carried long by the applicant or registrant which has value
and such value increased adjusted net capital (this charge
is limited to the value attributed to such options) | | | | rj380l
L-v' | | | C. Commodity options which are traded on contract markets and
carried long in proprietary accounts. Charge is the same as
would be applied if applicant or registrant was the grantor
of the options (this charge is limited to the value attributed
to such options) | | | | [33e0] | | 10. | Five percent (5%) of all unsecured receivables from unregistered
futures commission merchants or securities brokers or dealers | | | | [3410] | | 11. | Deficiencyin collateral for secured demand notes | | | | 134201 | | 12. | Adjustment to eliminate benefits of consolidation (explain in separate page). | | | -_--- | [3430] | | 13. | Total charges (add lines 5 through 12) | | | -
-
\$ | t34401 | | | Net Capital ComPutation | | | - | | | 14 | Adjusted net capital (subtract line 13 from line 4). | | | \$ | 81 ,319 t35ool | | 15 | Net capital required | | | | 45'000 [3600] | | | 16. Excess net capital (subtract line 15 from line 14)""""" | | | | \$ 36,319 [3610] | Note: There are no material differences between the audited camputation of net capital and the Partnership's unaudited FOCUS report as filed. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.