# MMA SECURITIES LLC X-17A-5 (2024-02-20) — Broker-dealer annual report - Company: MMA SECURITIES LLC - Form: X-17A-5 - Filed: 2024-02-20 - Period: 2023-12-31 - Accession: 0001105818-24-000006 - CIK: 1049767 - File #: 8-50591 - Type: Broker-dealer - Material weakness: No - Auditor: Deloitte & Touche LLP - Auditor location: New York, NY - Contact: Kim Blackmore - Phone: 201-284-4908 - Signed by: Kim Blackmore (Director, Financial and Operations Principal) Original filing: https://www.sec.gov/Archives/edgar/data/1049767/000110581824000006/1MMAS2023PublicReport.pdf --- {0}------------------------------------------------ MMA SECURITIES EEC (Ai Indirect Wholly-Owned Subsidiary of Marsh & McLennan Companies, Inc.) SEC ID No. 8-50591 # STATEMENT OF FINANCIAL CONDITION AS OF DECEMBER 31. 2023 AND REPORT OF INDEPENDENT REGLSTERED PUBLIC ACCOUNTING FIRM This repor^t is filed pursuan^t to Rule I 7a-5(e)(3) under the Securities Exchange Act of 1934 as ^a PUBLIC document. {1}------------------------------------------------ ## UNITED STATES 0MB APPROVAL SECURITIES AND EXCHANGE COMMISSION Expires: Nov. 30, ²⁰²⁶ Washington, D.C. 20549 Estimated average burden 0MB Number: 3235-0123 hours per response: 12 # ANNUAL REPORTS SECFILE NUMBER FORM X-17A-5 8-50591 PART III PUBLIC | SEC FILE NUMBER | | |-----------------|--| | 8-50591 | | FACING PAGE Information Required Pursuant to Rules 17a-5, 17a-12, and iSa-i under the Securities Exchange Act of 1934 FILING FOR THE PERIOD BEGINNING 1/1/2023 AND ENDING 12/31/2023 MM/DD/YV MM/DO/fl' A. REGISTRANT IDENTIFICATION # NAME OF FIRM: MMA Securities LLC TYPE OF REGISTRANT (check all applicable boxes): Broker-dealer D Security-based swap dealer LI Major security-based swap participant U check here if respondent is also an OTC derivatives dealer ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use ^a P.O. box no.) # 1 166 Avenue of the Americas | | (N
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pa | ## This filing" contains (check all applicable boxes): - •(a) Statement of financial conditionS - •(b) Notes to consolidated statement of financial condition. - LI Cc) Statement of income (loss) or, if there is other comprehensive income in the period(s) presented, ^a statement of comprehensive income (as defined in § 210.1-02 of Regulation 5-X). - LI Cd) Statement of cash flows. - El (e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - J (f) Statement ol changes in liabilities subordinated to claims of creditors. - El (g) Notes to consolidated financial statements. - El (h) Computation of net capital under 17 CFR 240. 15c3-1 or 17 (FR 240.18a-1, as applicable. - El (i) Computation of tangible net worth under ¹⁷ CFR 240.18a-2. - El (j) Computation for determination of customer reserve requirements pursuan^t to Exhibit ^A to ¹⁷ CFR 240.15c3-3. - El (k) Computation for determination of security-based swap reserve requirements pursuan^t to Exhibit ^B to ¹⁷ (FR 240.15c3-3 or Exhibit A to 17 CFR 240.lSa-4, as applicable. - El (I) Computation for Determination of PAB Requirements under Exhibit ^A to § 240.15c3-3. - El (m) Information relating to possession or control requirements for customers under ¹⁷ CFR 240.lSc3-3. - El (n) Information relating to possession or control requirements for security-based swap customers under ¹⁷ CFR 240.15c3-3(p)(2) or 17 CFR 240.lSa-4, as applicable. - El (o) Reconciliations, including appropriate explanations, of the FOCUS Report with computation of net capital or tangible net worth under 17 CFR 240.15c3-1, 17 (FR 240.18a-1, or 17 (FR 240.lSa-2, as applicable, and the reserve requirements under 17 (FR 240.15c3-3 or 17 (FR 240.lSa-4, as applicable, if material differences exist, or ^a statement that no material differences exist. - El (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - •(q) Oath or affirmation in accordance with 17 (FR 24D,17a-S, 17 CFR 240.17a-12, or 17 CFR 240.lSa-7, as applicable. - U (r) Compliance repor^t in accordance with ¹⁷ CFR 240.17a-5 or ¹⁷ CFR 24O.18a-7, as applicable. - U (s) Exemption repor^t in accordance with ¹⁷ CFR 240.17a-5 or ¹⁷ CFR 240.lSa-7, as applicable. - •(t) Independent public accountant's repor^t based on an examination of the statement of financial condition. - U (u) Independent public accountant's repor^t based on an examination of the financial repor^t or financial statements under ¹⁷ (FR 240. 17a-5, 17 CFR 240. lSa-7, or 17 CFR 240.17a-12, as applicable. - U (v) Independent public accountant's repor^t based on an examination of certain statements in the compliance repor^t under ¹⁷ CFR 240.17a-S or 17 (FR 240.lSa-7, as applicable. - LI (w) Independent public accountant's repor^t based on ^a review of the exemption repor^t under ¹⁷ CFR 240.17a-5 or ¹⁷ CFR 240.18a-7, as applicable. - U (x) Supplemental reports on applying agreed-upon procedures, in accordance with ¹⁷ CFR 240.15c3-le or ¹⁷ (FR 240.17a42, as applicable. - El (y) Report describing any material inadequacies found to exist or found to have existed since the date of the previous audit, or ^a statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). - LI (z) Other: - "To reques^t confidential treatment of certain portions of this filing, see ¹⁷ CFR 240.1 7a-Sfr)(3) or ¹⁷ CFR 240. lBa-7(d)(2), as applicable. {3}------------------------------------------------ # —Deloitte & Touche LLP Deloitte. TeLti 2124924000 Fax: +1 2124891687 vv.deIoittecom # REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Directors and Equity Owner of MMA Securities LLC: ## Opinion on the Financial Statement We have audited the accompanying statement of financial condition of MMA Securities LLC (the "Company") as of December 31, 2023, and the related notes (collectively referred to as the "financial statement"). In our opinion, the financial statement presents fairly, in all material respects, the financial position of the Company as of December 31, 2023, in conformity with accounting principles generally accepted in the United States of America. ## Basis for Opinion The financial statement is the responsibility of the Company's management. Our responsibility is to express an opinion on this 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 respec^t to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. 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 misstatement, 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 of the financial statement provides ^a reasonable basis for our opinion. D4 P- Th-zJe LU' February 20, 2024 We have served as the Company's auditor since 2015. {4}------------------------------------------------ # MMA SECURITIES LLC (an Indirect Wholly-Owned Subsidiary of Marsh & McLennan Companies, Inc.) #### STATEMENT OF FINANCIAL CONDITION DECEMBER 31, 2023 #### ASSETS | C
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0 | See notes to financial statement {5}------------------------------------------------ # MMA SECURITIES LLC (an Indirect Wholly-Owned Subsidiary of Marsh & McLennan Companies, Inc.) #### NOTES TO FINANCIAL STATEMENT DECEMBER 31, 2023 # 1. NATURE OF BUSINESS MMA Securities LLC (the "Company") is an indirect wholly-owned subsidiary of Marsh & McLennan Companies, Inc. ("MMC"). The Company's sole member is Marsh Insurance & Investments LLC ("MIlL"). The Company is ^a brokerdealer and investment advisor registered with the Securities and Exchange Commission ("SEC") and is ^a member of the Financial Industry Regulatory Authority, Inc. ("FINRA") and the Securities Investor Protection Corporation ("SIPC"). The Company is also ^a licensed insurance agency in most states in the United States. The Company provides the following services: - •Retirement and executive benefits consulting services to qualified and non-qualified benefits plans; - •Sale of mutual funds and variable products to individual and institutional customers. The Company does not hold customer securities or customer funds. ## 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation -The financial statement is prepared in conformity with accounting principles generally accepted in the United States of America ("US GAAP"). The Company has performed its evaluation of subsequent events through the issuance date of the financial statement. Based upon such evaluation, no events were discovered that required disclosure or adjustment to the financial statement. Use of Estimates - The preparation of the financial statement in conformity with US GAAP requires managemen^t to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statement. Actual results could differ from those estimates. Fair Value of Financial Assets and Liabilities -Substantially all of the Company's financial assets are carried at fair value or contracted amounts which approximate fair value. The Company's financial liabilities, such as payables, are recorded at amounts approximating fair value. Cash and Cash Equivalents - Cash equivalents consist of demand deposits with original maturities of three months or less. The estimated fair value of the Company's cash equivalents approximates their carrying value due to their short term nature. All of the cash and cash equivalents are held in one major financial institution. Allowance for Credit Losses on Accounts Receivable -The Company's policy for providing an allowance for credit losses ("CECL") on its accounts receivable is based on management's best estimate of amounts that will be uncollectible primarily based on the Company's historical experience of collections in its various businesses or other events that may affect the net realizable value of the receivables. {6}------------------------------------------------ An analysis of the allowance for credit losses for the year ended December 31, 2023 is provided below: | | | in
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1 | | Income Tax -The Company is treated as ^a disregarded entity for federal and state income tax purposes; therefore, the taxable income or loss from the Company's operalions is allocated to the Company's member. Accordingly, no provision for federal and state income taxes has been made in the accompanying financial statement. ## 3. CONTRACT BALANCES FROM CONTRACTS WITH CUSTOMERS The timing of the Company's revenue recognition may differ from the timing of paymen^t by its customers. The Company records receivables when revenue is recognized prior to paymen^t and it has an unconditional right to payment. The changes in the receivables dunng the year are related to services invoiced, paymen^t of invoices and adjustments for impainnent of the receivable. Alternatively, when paymen^t precedes the provision of the related services, the Company records deferred revenue until the performance obligations are satisfied. The Company had receivables related to revenue from customers of S4,481,324 at December 31, 2023 and 53,023.001 at January 1,2023 in relation to investment advisory services billed not collected. The Company had deferred revenue of 525.525 at December 31, 2023 and \$1 32,750 at January 1, 2023 in relation to investment advisory fees billed but the performance obligation has not been satisfied. ## 4. RELATED PARTY TRANSACTIONS As of December 31, 2023, the Company's receivable from affiliates balance of \$48,842,474 is primarily comprised of an interest bearing account. The Company transfers certain excess operating cash balances on its accounts with ^a third party bai\* to an interest bearing aecouni with MMC for cash managemen^t purposes. The estimated fair value of the Company's receivable approximates its carrying value. Asof December31, 2023, the Companys payablesto affiliates balance of S5.l79,076 primarilyreprescnt liabilities for services purchased as ve1l accounts payable invoices and commissions payable to registered representatives paid by Marsh McLeiman Agency LI.C. an affiliate, on behalf of the Company. Payables to affiliates are seitled on ^a monthly basis. # 5. COMMITMENTS AND CONTINGENCIES The Company has no commitments and contingencies as of December 31, 2023. # 6. NET CAPITAL REQUIREMENTS The Company is subject to the Uniform Net Capital Rule (Rule 15c3-l) under the Securities Exchange Act of 1934, which requires the maintenance of minimum net capital, as defined, of \$5,000, and requires that the ratio of aggregate indebtedness to net capital, as defined, shall not exceed 15 to I. At December 31, 2023, the Company had net capital of \$6,708,878 which was \$6,323,268 in excess of its required net capital requirement of \$385,610. The Company's aggregate indebtedness at December 31, 2023 was \$5,784,153. i'he Company's ratio of aggregate indebtedness to net capital was .86 to 1. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.