# N.A. INVESTCORP LLC X-17A-5 (2020-03-03) — Broker-dealer annual report - Company: N.A. INVESTCORP LLC - Form: X-17A-5 - Filed: 2020-03-03 - Period: 2018-06-30 - Accession: 0001315510-20-000003 - CIK: 1315510 - File #: 8-66812 - Material weakness: No - Auditor: Ernst & Young - Auditor location: Manama, C6 - Contact: Brian Murphy - Phone: 917-332-5719 - Signed by: John Franklin (Chief Executive Officer and President) Original filing: https://www.sec.gov/Archives/edgar/data/1315510/000131551020000003/public.pdf --- {0}------------------------------------------------ ### STATEMENT OF FINANCIAL CONDITION N.A. Investcorp LLC Year Ended June 30, 2018 With Report of Independent Registered Public Accounting Firm {1}------------------------------------------------ Public UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 OMB APPROVAL OMB Number: 3235-0123 Expires: August 31, 2020 Estimated average burden hours oer response ...... 12.00 8- 66812 SEC FILE NUMBER ### **ANNUAL AUDITED REPORT FORM X-17A-5 PART Ill** FACING PAGE Information Required of Brokers and Dealers Pursuant to Section 17 of the Securities Exchange Act of 1934 and Rule 17a-5 Thereunder | | | 06/30/18 ~~~~~
~~~ | |-------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------| | MM/DD NY | | MM/DDIYY | | A. REGISTRANT IDENTIFICATION | | | | | | OFFICIAL USE ONLY | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.) | | | | 36th Floor | | | | (No. and Street) | | | | | 10017 | | | (State) | (Zip Code) | | | | | (917) 332-5719
(Area Code - Telephone Number) | | | | | | | | | | | | Kingdom of Bahrain | | | | (Zip Code) | | | | | | | | | | | | | | | | | | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | 07/01/17 ~~~~~~~~~
B. ACCOUNT ANT IDENTIFICATION
INDEPENDENT PUBLIC ACCOUNT ANT whose opinion is contained in this Report•
(Name - if individual, state last, first, middle name)
P.O. Box 140 10th Floor, East Tower, Bahrain, World Trade Center
[X)Accountant not resident in United States or any of its possessions. | AND ENDING ~~
NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT
Manama
(State) | *•Claims for exemption from the requirement that the annual report be covered by the opinion of an independent public accountant must be supported by a statement of facts and circumstances relied on as the basis for the exemption. See Section 240.17a-5(e)(2)* SEC 1410 (06-02) Potential 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 | I, | John Franklin | , swear (or affirm) that, to the best of | | | | | |----------------------------------------------------------------------------------------------------------------------------|-------------------|-----------------------------------------------------------------------------------------------------------------|--|--|--|--| | | | my knowledge and belief the accompanying financial statement and supporting schedules pertaining to the firm of | | | | | | | NA lnvestcorp LLC | , as | | | | | | | of June 30 | 2018
are true and correct. I further swear (or affirm) that | | | | | | neither the company nor any partner, proprietor, principal officer or director has any proprietary interest in any account | | | | | | | classified solely as that of a customer, except as follows: NOTARY PUBLIC STATE OF NEW YORK RICHMOND COUNlY UC. #01DU6083816 ,Q COMM. EXP. 03/06/20..i.J. Chief Executive Officer and President ''''''''' **n r u u,,,,,,,** ,,,•' e DuraL '•,,, ,•' ;,~ ..... *•.:ro,* '•, ...... .. , ... ' ,.\_,. . .-:, :- ~('lJ ," ~, ~ ~ §~: oiA.,l\l1\_ .\_ ~: ,' ~ *r* ~. : : . . ~ This report •• contains (check all applicable boxes): - • • - !'Cl :: • ~; i.a (a) Facing Page. ~ (fl'. /:)UB\..\G ,',..\_ff ,,. ",,)\ ~ ' ""' .... (b) Statement of Financial Condition. ~- *-a'•.* •• 0 ! ·,7'>.., •• ..i\_:. ( c) Statement of Income (Loss). '•, "\$- · · · · · · · ~ ,,• (d) Statement of Changes in Financial Condition. '•,,,,,,,,<;>,, F N €•••"",,,•' **ouuu** Title (e) Statement of Changes in Stockholders' Equity or Partners' or Sole Proprietors' Capital. (f) Statement of Changes in Liabilities Subordinated to Claims of Creditors. (g) Computation of Net Capital. (h) Computation for Determination of Reserve Requirements Pursuant to Rule 15c3-3. {i) Information Relating to the Possession or Control Requirements Under Rule 15c3-3. 0 CD A Reconciliation, including appropriate explanation of the Computation of Net Capital Under Rule 15c3-l and the Computation for Determination of the Reserve Requirements Under Exhibit A of Rule 15c3-3. 0 (k) A Reconciliation between the audited and unaudited Statements of Financial Condition with respect to methods of consolidation. 181 (1) An Oath or Affirmation. D D (m) A copy of the SIPC Supplemental Report. (n) A report describing any material inadequacies found to exist or found to have existed since the date of the previous audit. *••For conditions of confidential treatment of certain portions of this filing, see section 240. J 7a-5(e)(3).* {3}------------------------------------------------ ### N.A. Investcorp LLC ### Statement of Financial Condition ### June 30, 2018 ### **Contents** | Report oflndependent Registered Public Accounting Firm 1 | | |-----------------------------------------------------------|--| | Financial Statement | | | Statement of Financial Condition 2 | | | Notes to Statement of Financial Condition 3 | | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) Ernst & Young P.O. Box 140 10th Floor, East Tower Bahrain World Trade Center Manama Kingdom of Bahrain Tel +973 1753 5455 Fax +973 1753 5405 manama bh.ey.com ey.com/mena C.R. No 6700 #### Report of Independent Registered Public Accounting Firm To the Member of N.A. lnvestcorp LLC #### Opinion on the Financial Statement We have audited the accompanying statement of financial condition of N.A. lnvestcorp LLC (the "Company") as of June 30, 2018 and the related notes (the "financial statement"). In our opinion, the financial statement presents fairly. in all material respects, the financial position of the Company at June 30. 2018, in conformity with U.S. generally accepted accounting principles. #### Basis for Opinion This 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 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 financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. E~~\ ~rj We have served as the Company's auditor since 2013 August 27, 2018 Manama. Kingdom of Bahrain {5}------------------------------------------------ ## **N.A. INVESTCORP LLC STATEMENT OF FINANCIAL CONDITION JUNE 30, 2018** | [une 30, 2018 | | | |------------------------------------------------|----|-----------| | ASSETS | | | | Cash and cash equivalents | \$ | 1,679,247 | | Due from an affiliate | | 29,230 | | Total assets | \$ | 1,708,477 | | LIABILITIES AND MEMBER'S EQUITY
Liabilities | | | | Accounts payable and accrued liabilities | | 75,971 | | Member's eguity | | 1,632,506 | | Total liabilities and member's equity | s | 1,708,477 | {6}------------------------------------------------ ## N.A. INVESTCORP LLC NOTES TO STATEMENT OF FINANCIAL CONDITION JUNE 30, 2018 ### 1. INCORPORATION AND ACTIVITIES N.A. lnvestcorp LLC (the "Company"), a limited liability company and wholly owned by lnvestcorp International Holdings Inc. (the "Parent" or "Member"), was organized under the laws of the State of Delaware on November 23, 2004. The ultimate parent of the Company is Investcorp Bank B.S.C. ("BSC"), a bank incorporated in the Kingdom of Bahrain. The Company became registered as a broker-dealer with the Securities and Exchange Commission ("SEC") on June 24, 2005 and is a member of the Financial Industry Regulatory Authority ("FINRA"). The Company is approved to serve as a placement agent for private placements of singlemanager and multi-manager hedge fund products, registered closed-end investment company funds and other types of private placements. Most of the funds offered by the Company are managed and/or administered by affiliates. The Company is exempt from Rule 15c3-3 of the SEC under paragraph (k)(2)(i) of that Rule. ### 2. SIGNIFICANT ACCOUNTING POLICIES #### Basis of Presentation The statement of financial condition is expressed in US Dollars (\$) and is prepared in accordance with accounting principles generally accepted in the United States of America ("US GAAP"). #### Cash and Cash Equivalents The Company considers highly-liquid investments, with original maturities of 90 days or less that are not held for sale in the ordinary course of business, to be cash equivalents. Cash and cash equivalents held at financial institutions, at times, may exceed the amount insured by the Federal Deposit Insurance Corporation. The Company utilizes an end-of-day investment sweep account provided by Capital One, N.A. for its cash balances. The purpose was to enhance the interest income of the Company's cash balance while maintaining a liquid and low risk investment profile. #### Income Taxes As a limited liability company, the Company is not subject to State or Federal income taxes. Such taxes accrue to the Member and, accordingly, have not been recognized in the statement of financial condition. {7}------------------------------------------------ # N.A. INVESTCORP LLC NOTES TO STATEMENT OF FINANCIAL CONDITION JUNE 30, 2018 ## 2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) #### Going Concern Management has made an assessment of the Company's ability to continue as a going concern and is satisfied that it has sufficient resources to continue in business for the foreseeable future. Furthermore, management is not aware of any conditions and events that may raise substantial doubt upon the Company's ability to continue as a going concern. Therefore, the statement of financial condition continues to be prepared on the going concern basis. ### Use of Estimates The preparation of the statement of financial condition in conformity with accounting principles generally accepted in the United States of America requires management 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 statement of financial condition and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from these estimates. ### 3. RELATED PARTY BALANCES ### Due from an Affiliate As of June 30, 2018, the Company maintained a cash deposit with the ultimate parent, amounting to \$29,230. The cash may be withdrawn on demand. ### 4. REGULATORY NET CAPITAL REQUIREMENTS As a registered broker/dealer, the Company is subject to the provisions of the SEC's Uniform Net Capital Rule (Rule 15c3-1), which requires the maintenance of minimum regulatory net capital and requires that the ratio of aggregate indebtedness to regulatory net capital, both as defined, shall not exceed 15 to 1. Regulatory net capital and aggregate indebtedness may fluctuate on a daily basis. At June 30, 2018, the Company had regulatory net capital of \$1,603,276, which exceeded the requirement of \$5,065 by \$1,598,211. The Company's ratio of aggregate indebtedness to regulatory net capital was 4.74% at June 30, 2018. {8}------------------------------------------------ ## **N.A. INVESTCORP LLC NOTES TO STATEMENT OF FINANCIAL CONDITION JUNE 30, 2018** ## **5. SUBSEQUENT EVENTS** The Company has evaluated all subsequent events through the issuance date of the statement of financial condition. Management has determined that there are no material events that would require disclosure in the Company's statement of financial condition or the notes thereto. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.