# SANFORD C. BERNSTEIN & CO., LLC X-17A-5 (2026-02-26) — Broker-dealer annual report - Company: SANFORD C. BERNSTEIN & CO., LLC - Form: X-17A-5 - Filed: 2026-02-26 - Period: 2025-12-31 - Accession: 0001126269-26-000002 - CIK: 1126269 - File #: 8-52942 - Type: Broker-dealer - Material weakness: Yes - Auditor: PricewaterhouseCoopers LLP - Auditor location: New york, NY - Contact: Keegan Moore - Phone: 6159390402 - Signed by: Gary Krueger (Chief Financial Officer) Original filing: https://www.sec.gov/Archives/edgar/data/1126269/000112626926000002/SCBSOFC2025.2.pdf --- {0}------------------------------------------------ # Sanford C. Bernstein & Co., LLC (an indirect wholly-owned subsidiary of AllianceBernstein L.P.) Statement of Financial Condition December 31, 2025 (With Independent Registered Public Accounting Firm's Report Thereon) {1}------------------------------------------------ ![](_page_1_Picture_0.jpeg) # Report of Independent Registered Public Accounting Firm To the Board of Directors and Member of Sanford C. Bernstein & Co., LLC # *Opinion on the Financial Statement – Statement of Financial Condition* We have audited the accompanying statement of financial condition of Sanford C. Bernstein & Co., LLC (the "Company") as of December 31, 2025, including 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, 2025 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 the Company'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 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 of this financial statement 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 provides a reasonable basis for our opinion. Nashville, TN February 26, 2026 We have served as the Company's auditor since 2006. {2}------------------------------------------------ (an indirect wholly-owned subsidiary of AllianceBernstein L.P.) # Statement of Financial Condition December 31, 2025 (dollars in thousands) ### ASSETS | Total assets | | 2,230,857 | |---------------------------------------------------------------------------|---|-----------| | Other assets | | 6,109 | | Deposits with clearing organizations | | 14,881 | | Due from affiliates | | 295 | | Fees | | 1,223 | | Customers | | 1,607,527 | | Brokers and dealers | | 19,657 | | Receivables: | | | | Cash and securities segregated under Federal regulations (cost \$496,263) | | 498,649 | | Cash and cash equivalents | S | 82,516 | ### LIABILITIES AND MEMBER'S EQUITY | Payables: | | | |----------------------------------------|---|-----------| | Brokers and dealers | S | 62,868 | | Customers | | 1,936,727 | | Due to Parent | | 2,359 | | Due to affiliates | | 166 | | Accrued expenses and other liabilities | | 2,567 | | Total liabilities | | 2,004,687 | | | | | | Member´s equity | 226.170 | |---------------------------------------|--------------| | Total liabilities and member's equitv | \$ 2,230,857 | {3}------------------------------------------------ (an indirect wholly-owned subsidiary of AllianceBernstein L.P.) December 31, 2025 ## (1) Business Description and Organization Sanford C. Bernstein & Co., LLC (the "Company") is an indirect wholly-owned subsidiary of AllianceBernstein L.P. ("AB" or the "Parent"), which is majority-owned by Equitable Holdings, Inc. ("EQH"), the holding company for a diversified financial services organization. The Company is registered with the Securities and Exchange Commission ("SEC") as a broker-dealer under the Securities Exchange Act of 1934, the Financial Industry Regulatory Authority, Inc. ("FINRA"), and other market centers and self-regulatory organizations. The Company is also registered with the Commodity Futures Trading Commission as an introducing broker. The Company provides brokerage and custodial services to individual and certain institutional advisory customers of AB. See Note 9, Related Party Transactions, for a discussion of these related party transactions. # (2) Significant Accounting Policies #### (a) Basis of Presentation The Company is a single member limited liability company ("LLC") with the Parent, a Delaware limited partnership, as the member. The financial statement has been prepared in accordance with accounting principles generally accepted in the United States of America ("US GAAP"). The preparation of the financial statement requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the financial statement. Actual results could differ materially from those estimates. # (b) Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits and cash held in foreign currencies. ## (c) Brokerage Transactions Customers' securities transactions are recorded on a settlement date basis. Receivables include client margin transactions and payables to clients include amounts due on cash. Securities owned by customers are held as collateral for receivables; such collateral is not reflected in the financial statement. The Company has the ability by contract or custom to sell or re-pledge this collateral, and has done so at various times. As of December 31, 2025, there were no re-pledged securities, and the collateral held was \$2 1 billion ## (d) Collateralized Securities Transactions Securities borrowed and securities loaned are recorded at the amount of cash collateral advanced or received in connection with the transaction and are included in receivables from and payables to brokers and dealers in the statement of financial condition. Securities borrowed transactions require us to deposit cash collateral with the lender. As of December 31, 2025, cash collateral on deposit with lenders was \$14.5 million. With respect to securities loaned, the Company receives cash collateral from the borrower. As of December 31, 2025, the Company had \$50.2 million in cash collateral from borrowers. The initial collateral advanced or received approximates or is greater than the fair value of securities borrowed or loaned. We monitor the fair value of the securities borrowed and loaned on a daily basis and request additional collateral or return excess collateral amounts, as appropriate. As of December 31, 2025, there was no allowance provision required for the collateral advanced. {4}------------------------------------------------ (an indirect wholly-owned subsidiary of AllianceBernstein L.P.) ## December 31, 2025 As of December 31, 2025, the Company had \$14.9 million of cash on deposit with clearing organizations for trade facilitation purposes. This amount is listed separately on the statement of financial condition. ### Current Expected Credit Losses- Receivables from Customers Receivables from customers are primarily composed of margin loan balances. We consider these financing receivables to be of good credit quality as these receivables are primarily collateralized by the related customer investments. To estimate expected credit losses on margin loans, we applied the collateral maintenance practical expedient by comparing the amortized cost basis of the margin loans with the fair value of the collateral at the reporting date. Margin loans are limited to a percentage of the securities held in the customer's account against those loans. The Company requires, in the event of a decline in the market value of the securities in a margin account, the customer to deposit additional securities or cash so that, at all times, the value of the securities in the account, at a minimum, cover the loan to the customer. As such, the Company reasonably expects that the borrower will be able to continually replenish collateral securing the financial asset and does not expect the fair value of collateral to fall below the amortized cost basis of the margin loans and, as a result, we consider the credit risk associated with these receivables to be minimal. In circumstances when a loan becomes undercollateralized and the customer fails to deposit additional securities or cash, the Company reserves the right to liquidate the account. #### (e) Loss Contingencies For significant litigation matters, we assess the likelihood of a negative outcome. If a negative outcome is probable and the loss can be reasonably estimated, we record an estimated loss. If a negative outcome is reasonably possible and we can estimate the potential loss or range of loss, or if a negative outcome is probable and we can estimate the potential loss or range of loss beyond any amounts already accrued, we disclose this information. However, predicting outcomes or estimating losses is often challenging due to litigation uncertainties, especially in early stages or complex cases. In such instances, we disclose our inability to predict the outcome or estimate losses. #### Income Taxes (f) The Company is treated as a disregarded entity for tax purposes. The Parent, a private limited partnership, is not subject to federal or state corporate income taxes. However, the Parent and the Company are subject to a 4% New York City unincorporated business tax ("UBT"). Payments of the UBT are made by the Parent on behalf of the Company and charged back to the Company. #### Capital Contribution (g) In connection with the forgiveness of an intercompany payable with an affiliated entity, the Company recorded a capital contribution from its Parent in lieu of repayment, as the Parent ultimately holds the responsibility for the liability. The amount recorded for the year ended December 31, 2025 was \$3.2 million. {5}------------------------------------------------ # **! !"** .;6;16?20AD5<99F B2;A 2C2;A@A5?B2;A 2C2;A@ A5.A DB6?2 16@09<@B?2 6; A56@ 36;.;06.9@A.A2:2;A ### **&7-&2)!\*(96.8.\*77\*,6\*,&8\*)92)\*6\*)\*6&0 \*,90&8.327** @ <3202:/2? A52<:=.;F 5.1 :6996<; <3+)\*?2.@B?F699@.;10.@5 @24?24.A216;. @=206.9 ?2@2?C2 /.;8 0B@A<1F .00 | | | | | 9.@@.0A6<;=.F./92@ |
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| | ## **&.6\$&09\*** .6?C.9B26@1236;21.@A52=?602A5.ADBills) | | | - \$ 498,649 \$ - | | | | | - \$ 498,649 | | Total assets measured at fair value | | | \$ 498,649 \$ | | | | | - \$ 498,649 | Following is a description of the fair value methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy: · U.S. Treasury Bills: The Company holds U.S. Treasury Bills and cash, which are segregated in a special reserve bank custody account as required by Rule 15c3-3 of the Exchange Act. These are valued based on quoted yields in secondary markets and are included in Level 2 of the valuation hierarchy. During the year ended December 31, 2025, we had no transfers between levels and held no Level 3 securities. ## (6) Offsetting Assets and Liabilities Offsetting of assets as of December 31, 2025 was as follows (in thousands): | | Gross
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Collateral | | Net Amount | |---------------------|---------------------------------------------|-----------------------------------------------------------------------------|--|----------------------------------------------------------------------------------------------|--|--|---------------------------------------|--------------------|---|------------| | Securities borrowed | \$ 14.689 \$ | | | | | | \$ 14,689 \$ (14,539) \$ | | ಳ | 150 | Offsetting of liabilities as of December 31, 2025 was as follows (in thousands): | | Gross
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Collateral | Net Amount | |-------------------|--------------------------------------------------|-----------|-----------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------|----------------------------------------|--|--------------------|------------| | Securities loaned | ﮨﻮ | 51,488 \$ | | \$ 51,488 \$ | | | \$ (50,170) \$ | 1,318 | {7}------------------------------------------------ (an indirect wholly-owned subsidiary of AllianceBernstein L.P.) December 31, 2025 #### Income Taxes (7) The Company is treated as a disregarded entity for tax purposes. The Parent, a private limited partnership, is not subject to federal or state corporate income taxes. However, the Parent and the Company are subject to a 4% New York City unincorporated business tax ("UBT"). Deferred income taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The tax effect of significant items comprising the net deferred tax asset is as follows (in thousands): | Net deferred tax asset | | 29 | |----------------------------------------|---|-----| | Other differences | | 28) | | Deferred compensation plans | S | 57 | | Difference between book and tax basis: | | | | Deferred tax asset: | | | The net deferred tax asset is included in other assets on the statement of financial condition. Management has determined that realization of the net deferred tax asset is more likely than not based on anticipated future taxable income. # (8) Commitments and Contingencies # Legal and Regulatory Proceedings For significant litigation matters, we assess the likelihood of a negative outcome. If a negative outcome is probable and the loss can be reasonably estimated, we record an estimated loss. If a negative outcome is reasonably possible and we can estimate the potential loss or range of loss, or if a negative outcome is probable and we can estimate the potential loss or range of loss beyond any amounts already accrued, we disclose this information. However, predicting outcomes or estimating losses is often challenging due to litigation uncertainties, especially in early stages or complex cases. In such instances, we disclose our inability to predict the outcome or estimate losses. ## (9) Related Party Transactions The Company utilizes the Parent's advisory services for the management of discretionary accounts and, as such, is liable to the Parent for these services. The Company earns investment fees from its customers and remits the full amount of these fees to the Parent. The Parent utilizes the Company's custodial services for most of its Private Wealth Management accounts and for certain Institutional accounts. For discussion on the Company's loans with AB, see Note 2, Significant Accounting Policies, Debt. ## (10) Net Capital Requirement As a broker-dealer, the Company is subject to the Uniform Net Capital Rule 15c3-1 of the Exchange Act. The Company computes its net capital under the alternative method by the rule, which requires that {8}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