# CONCORDE INVESTMENT SERVICES, LLC X-17A-5 (2022-03-29) — Broker-dealer annual report - Company: CONCORDE INVESTMENT SERVICES, LLC - Form: X-17A-5 - Filed: 2022-03-29 - Period: 2021-12-31 - Accession: 0001471980-22-000006 - CIK: 1471980 - File #: 8-68388 - Type: Broker-dealer - Material weakness: No - Auditor: Carnaghi & Schwark PLLC - Auditor location: Roseville, MI - Contact: Kathleen Hofer - Phone: 12488246710 - Email: khofer@concordeis.com - Website: concordeis.com - Signed by: Kathleen Hofer (CFO) Original filing: https://www.sec.gov/Archives/edgar/data/1471980/000147198022000006/annualaudit1.pdf --- {0}------------------------------------------------ | | UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
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hours per response: 12 | |-----------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------|-----------------|-----------------------------------------------------------------------------------------------------------------------| | | ANNUAL REPORTS | | SEC FILE NUMBER | | | FORM X-17A-5 | | 8-8388 | | | PARTII | | | | | FACING PAGE | | | | Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 | | | 12/31/2021 | | FILING FOR THE PERIOD BEGINNING | 01/01/2021
MM/DD/YY | AND ENDING | MM/DD/YY | | | A. REGISTRANT IDENTIFICATION | | | | NAME OF FIRM: Concorde Investment Services, LLC | | | | | | | | | | Check here if respondent is also an OTC derivatives dealer
ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | 19500 Victor Parkway, Suite 550 | | | | | | (No. and Street) | | | | Livonia | MI | | 48152 | | (City) | (State) | | (Zip Code) | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | Kathleen Hofer | 248-824-6708 | | khofer@concordeis.com | | (Name) | (Area Code - Telephone Number) | (Email Address) | | | | B. ACCOUNTANT IDENTIFICATION | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing* | | | | | Carnaghi & Schwark PLLC | | | | | | (Name - if individual, state last, first, and middle name) | | | | 30435 Groesbeck Highway Roseville | | MI | 48066 | | Address) | (City) | (State) | (Zip Code) | | 05/19/2009 | | 3421 | | | | | | (PCAOB Registration Number, if applicable) | | | | | | | Date of Registration with PCAOB)(if applicable) | FOR OFFICIAL USE ONLY | | | | Claims for exemption from the requirement that the annual reports be covered by the reports of an independent public | | | | p d {1}------------------------------------------------ #### OATH OR AFFIRMATION , swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Concorde Investment Services LLC as of 12/31 \_\_ 2 021 \_\_ is true and correct. I further swear (or affirm) that neither the company nor any partner, officer, director, or equivalent person, as the case may be, has any proprietary interest in any account classified solely as that of a customer Title. CFO ALKA S PATEL NOTARY PUBLIC - MICHIGAN MACOMB COUNTY This filing \*\* contains (check all applicable boxes): MY COMMISSION EXPIRES 01/28/2028 (a) Statement of financial condition. ACTING IN OAKLAND COUNTY 7 (b) Notes to consolidated statement of financial condition. (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 § 210.1-02 of Regulation S-X). (d) Statement of cash flows [e) Statement of changes in stockholders' or partners' or sole proprietor's equity, □ (f) Statement of changes in liabilities subordinated to claims of creditors. (g) Notes to consolidated financial statements. (h) Computation of net capital under 17 CFR 240.15c3-1 or 17 CFR 240.18a-1, as applicable. [ (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. □ (k) Computation for determination of security-based swap reserve requirements pursuant to Exhibit B to 17 CFR 240.15c3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - [ (I) Computation for Determination of PAB Requirements under Exhibit A to § 240.15c3-3. - □ (m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3. - 7 (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable. - | (o) Reconciliations, including appropriate explanations, of the FOCUS Report with computation of net capible net worth under 17 CFR 240.15c3-1, 17 CFR 240.18a-2, or 17 CFR 240.18a-2, as applicable, and the reserve requirements under 17 CFR 240.15c3-3 or 17 CFR 240.18a-4, as applicable, if material differences exist, or a statement that no material differences exist. - □ (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - (q) Oath or affirmation in accordance with 17 CFR 240.17a-12, or 17 CFR 240.18a-7, as applicable. - □ (r) Compliance report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - □ (t) Independent public accountant's report based on an examination of the statement of financial condition. - | (u) Independent public accountant's report based on an examination of the financial statements under 17 CFR 240.17a-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - □ (v) Independent public accountant's report based on an examination of certain statements in the compliance report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - @ (w) Independent public accountant's report based on a review of the exemption report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - □ (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.17a-12, as applicable. - □ (y) Report describing any material inadequacies found to exist or found to have existed since the date of the previous audit, on a statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). - (z) Other: 0 \*\*To request confidential treatment of certain portions of this filing, see 17 CFR 240.170-5(e)(3) or 17 CFR 240.180-7(d)(2), as applicable. |, Kathleen Hofer {2}------------------------------------------------ FINANCIAL STATEMENTS AND SUPPORTING SCHEDULES PURSUANT TO RULE 17A-5 OF THE SECURITIES AND EXCHANGE COMMISSION FOR THE YEAR ENDED DECEMBER 31, 2021 {3}------------------------------------------------ |

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:"UO#0R"4"33333333333333333333333333333333333333333333333333333333333333333333333333333333333333 | | {4}------------------------------------------------ Anthony L. Carnaghi, CPA Douglas W. Schwark, CPA (586) 779-8010 FAX (586) 771-8970 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Board of Directors and Member of Concorde Investment Services, LLC Livonia, Michigan #### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of Concorde Investment Services, LLC as of December 31, 2021, the related statements of operations, changes in member's equity, and cash flows for the year then ended, and the related notes to the financial statements. In our opinion, the financial statements present fairly, in all material respects, the financial position of Concorde Investment Services, LLC as of December 31, 2021 and the results of its operations and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America. #### Basis for Opinion These financial statements are the responsibility of Concorde Investment Services, LLC's management. Our responsibility is to express an opinion on Concorde Investment Services, LLC's financial statements 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 Concorde Investment Services, LLC 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 statements are 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 statements, 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 statements. 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 statements. We believe that our audit provides a reasonable basis for our opinion. #### Auditor's Report on Supplementary Information The supplementary information contained on pages 13 to 15 has been subjected to audit procedures performed in conjunction with the audit of Concorde Investment Services, LLC's financial statements. The supplemental information is the responsibility of Concorde Investment Services, LLC's management. Our audit procedures included determining whether the supplemental information reconciles to the financial statements 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. In 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. §240.17a-5. In our opinion, the supplementary information is fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as Concorde Investment Services, LLC's auditor since 2010. Roseville, Michigan March 25, 2022 {5}------------------------------------------------ ## = #### BALANCE SHEET DECEMBER 31, 2021 #### ASSETS | Cash | | |---------------------------------------------|-----------| | Accounts receivable: | | | Brokers, dealers and clearing organizations | | | Deposit - clearing organizations | 75,012 | | Parent company | | | Related party | | | Other | 64,853 | | Prepaid expenses | 1,646,357 | | Right of use assets | | | | | #### TOTAL ASSETS #### \$ 17,170,064 #### LIABILITIES AND MEMBER'S EQUITY | Accounts payable | | |-------------------------------|-----------| | Accrued commissions | 5,284,826 | | Other accrued expenses | 1,440,592 | | Amount due to parent company | 29,064 | | Amount due to related parties | 10,874 | | Deferred fees | 231,355 | | Lease obligations | 203,592 | | Total Liabilities | 7,325,002 | #### MEMBER'S EQUITY | Member's equit | 001 | |--------------------------------|-----| | LARILITIES AND MEMRER'S FOUITY | | {6}------------------------------------------------ ### STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 2021 #### Revenue: Commissions - Alternative investments ........................................................................................................................................ Commissions - Variable annuities. 3,488,032 Commissions - Mutual funds.................................................................................................................................................... 780,066 Commissions - Clearing firm .................................................................................................................................................. 492,657 Commissions – Variable universal life insurance ……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………… 151,037 Commissions - 529 plans....................................................................................................................................................... 100,333 Due diligence fees ........................................................................................................................................................... 8,764,385 113,800 Clearing firm revenue......................................................................................................................................................... Other revenue ................................................................................................................................................................ 199,209 Interest & miscellaneous ..................................................................................................................................................... 6,220 Total revenue 54,868,831 Commissions and clearing charges: Commissions paid.............................................................................................................................................................. 42.188.859 Clearing charges ............................................................................................................................................................ 97.231 Total commissions and clearing charges 42,286,090 Gross profit from operations ................................................................................................................................................. 12,582,741 Sales, general and administrative expenses ................................................................................................................................... 6,385,404 Income before provision for income taxes 6,197,337 Provision for taxes: Federal income tax............................................................................................................................................................ 1,268,200 State taxes .................................................................................................................................................................. 8,000 Total provision for taxes 1.276.200 NET INCOME S 4.921.137 {7}------------------------------------------------ ## ■ #### STATEMENT OF MEMBER'S EQUITY YEAR ENDED DECEMBER 31, 2021 | | | Member's
Equity | |------------------------------|--|--------------------| | Balance at January 1, 2021 | | 6,273,925 | | Net income | | | | Additional capital paid in | | | | Distributions to member | | | | Balance at December 31, 2021 | | 9.845.062 | {8}------------------------------------------------ ## ■ ## STATEMENT OF CASH FLOWS YEAR ENDED DECEMBER 31, 2021 ### CASH FLOWS FROM OPERATING ACTIVITIES | Net income | S | 4,921,137 | |-------------------------------------------------------------------------------------|---|------------| | Adjustment to reconcile net income to net
cash provided by operating activities: | | | | Changes in: | | | | Receivables | ( | 2,983,778) | | Prepaid expenses | | 892,087 | | Accounts payable and accrued expenses | | 1,493,900 | | Deferred fees | | 36,992 | | Total adjustments | | 560,799) | | Net cash provided by operating activities | | 4,360,338 | | CASH FLOWS FROM FINANCING ACTIVITIES | | | | Distribution to member | | 1,350,000) | | Net cash provided by financing activities | | 1,350,000) | | NET INCREASE IN CASH | | 3,010,338 | | Cash and cash equivalents - Beginning of year | | 6.722.021 | | Cash and cash equivalents - End of year | S | 9,732,359 | {9}------------------------------------------------ ![](_page_9_Picture_0.jpeg) #### NOTES TO FINANCIAL STATEMENTS #### NOTE 1 - ORGANIZATION Concorde Investment Services, LLC (the "Company") is a securities broker-dealer organized as a limited liability company. The Company received its articles of organization from the State of Michigan in July 2009 and registered with the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC) in August 2010. The Company is a wholly owned subsidiary of Concorde Holdings, Inc (Parent Company). #### NOTE 2-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES #### Revenue Recognition Revenue is recorded when: (i) a contract with a client has been identified, (ii) the performance obligation(s) in the contract have been identified, (iii) the transaction price has been determined, (iv) the transaction price has been allocated to each performance obligation in the contract, and (v) the Company has satisfied the applicable performance obligation. The expenses that are directly related to such transactions are recorded as incurred and presented within operating expenses. Revenue associated with the reimbursement of such expenses are recorded when the Company is contractually entitled to reimbursement and presented within other income. The Company provides transaction related services to its customers. Securities transactions and the related commission revenue and expenses are recorded on a trade date basis. Disaggregated revenue is presented in the accompanying statement of operations. Accounts receivable and contract balances from contracts with customers were as follows. Accounts receivable approximated \$5,448,000 and \$1,724,000 as of December 31, 2021 and 2020, respectively. Contract assets were not material as of December 31, 2021 and 2020. Contract liabilities approximated \$5,285,000 and \$2,193,000 as of December 31, 2021 and 2020, respectively. #### Management Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. #### Financial Instruments with Off-Balance Sheet Risks In the normal course of business, the Company's activities involve the execution, settlement and financing of various securities transactions. These activities may expose the Company to off-balance sheet risk in the event the other party to the transaction is unable to fulfill its contractual obligation. {10}------------------------------------------------ #### NOTES TO FINANCIAL STATEMENTS #### NOTE 2-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) #### Federal Income Taxes The Company files a consolidated income tax return with its Parent Company and subsidiaries. The provision for Federal income taxes for the year ended December 31, 2021 is based on a separate return filing. The Company recognizes and measures its unrecognized tax benefits in accordance with FASB ASC 740, Income Taxes. The primary objective of ASC 740 is to prescribe measurement and disclosure requirements for income tax provisions when uncertainty exists as to whether the reporting entity's tax positions would be sustained in the event of an examination. Company management believes that there are no material uncertainties in which tax positions taken would not be sustained upon examination. With few exceptions, the Company is no longer subject to U.S. Federal income tax examinations for years before 2018 or state income tax examinations for years before 2017. #### Subsequent Events The Company has evaluated events and transactions for potential recognition or disclosure through March 25, 2022 which is the same date the financial statements were available to be issued. #### NOTE 3 - TRANSACTIONS WITH PARENT COMPANY The Parent Company provides furniture and fixtures, personnel, general administrative and consulting services to the Company in connection with the Company's business. Reimbursement of these expenses is based on an itemized schedule of amounts paid. For the year ended December 31, 2021 charges for the services provided by Concorde Holdings, Inc. approximated \$18,000, and are included in sales, general and administrative expenses in the accompanying statement of operations. #### NOTE 4 - NET CAPITAL REQUIREMENTS The Company is subject to the Securities and Exchange Commission's Uniform Net Capital Rule (Rule 15c3-1). Based on the provisions of this rule, the Company must maintain net capital equivalent to the greater of \$50,000 or 1/15th of aggregate indebtedness, as defined. At December 31, 2021, the Company's net capital totaled \$3,074,425 which was \$2,599,664 in excess of its required net capital of \$474,761. The ratio of aggregate indebtedness to net capital (which may not exceed 15 to 1) was 2.32 to 1. {11}------------------------------------------------ ## - #### ## !"#"""\$%#"&%#" '()\*+,-./0123(43502,.5678)9:);67/<=)>+?.3@.@AB-./0123(4C.3@.@D,@2ED13E4 0FFDG.@23G.A'(3GG0E53(G.HD,-67/<=),-./0123(4E.G0I(DJ.53EDI-,0FK@.;LM8>3@@.,3(5 ,-.G0EE.@20(5D(IC.3@.CD3NDCD,43,,-.G011.(G.1.(,0F,-.C.3@.ALM83@@.,@3(5CD3NDCD,D.@3E. OPQRSTUVPWRTXYPZR[\]T^\_`a]b]TQP`YPPX]XXYP\OP`PTXc]bdPReedXdOPbP]`P\]^[PTX`OPb]XPWXR ,-.K@.0F,-.K(5.EC4D(I3@@.,;@>5KED(I,-.C.3@.,.E1;@>AB-./0123(4.12C04@D,@D(GE.1.(,3C N0EE0HD(IE3,.3@,-.5D@G0K(,E3,.,05.,.E1D(.,-.2E.@.(,f3CK.0FFK,KE.C.3@.2341.(,@3@,-. D12CDGD,E3,.D(,-.C.3@.3EE3(I.1.(,D@(0,E.35DC45.,.E1D(3NC.AB-.D(GE.1.(,3CN0EE0HD(IE3,.D@ N3@.50(,-.E3,.0FD(,.E.@,,-./0123(4H0KC5D(GKE0(3G0CC3,.E3CDJ.5N3@D@,0N0EE0H3(310K(, .gKDf3C.(,,0,-.C.3@.2341.(,@K(5.E@D1DC3E,.E1@3(5D(3@D1DC3E.G0(01DG.(fDE0(1.(,AB-.E3,. 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)k+p*) | B-.C.3@.3IE..1.(,D(GCK5.@.@G3C3,D0(GC3K@.@F0EC.@@0E,3r.@3(50,-.E02.E3,D(I.r2.(@.@H-DG- HDCCD(GE.3@.FK,KE.4.3E@1D(D1K1E.(,3C2341.(,@A i0E,-.4.3E.(5.5j.G.1N.Ek+))+,-.,0,3C.r2.(@.2KE@K3(,,0,-.3N0f.C.3@.@310K(,.5,0 ok+A iKE(D,KE.3(5.gKD21.(,D@2E0fD5.5N4,-.s3E.(,/0123(4+,-.G-3EI.F0EH-DG-D@D(GCK5.5D( ## vww" ,-.351D(D@,E3,Df.2341.(,@135.,0/0(G0E5.t0C5D(I@+'(G;@..u0,.k>A 6,j.G.1N.Ek+))+,-./0123(4H3@D(f0Cf.5D(f3ED0K@2.(5D(I3END,E3,D0(2E0G..5D(I@HD,-,-. iD(3(GD3C'(5K@,E4L.IKC3,0E46K,-0ED,4;i'uL6>E.I3E5D(IGC3D1@N4D(5DfD5K3C@F0ED(f.@,1.(, 5.GD@D0(@135.0(,-.DEN.-3CFN4F0E1.EE.ID@,.E.5E.2E.@.(,3,Df.@0F,-./0123(4AB-.5D@20@D,D0(0F ,-.@.13,,.E@xUTXYPR\UTURTRe[]T]SP[PTXxyUbbTRXY]cP][]XPOU]b]WcPO`PPeePQXRTXYPZR[\]T^\_` FD(3(GD3C20@D,D0(A {12}------------------------------------------------ #### NOTES TO FINANCIAL STATEMENTS #### NOTE 6-CONTINGENCIES (Continued) During 2021, the Company entered into settlement agreements with individuals regarding various investment claims against the Company and its former registered representatives. The settlements approximated \$1,333,000 and are included in sales, general and administrative expenses in the statement of operations. #### NOTE 7 - COVID -19 PANDEMIC IMPACTS AND RESPONSE The COVID-19 pandemic has had and will continue to have an impact on the Company's business, financial condition and operations. The full extent of COVID-19 is still uncertain. The Company implemented various initiatives in order to reduce the impact of the pandemic on the Company's financial condition. As the pandemic continues, the extent of impact on the Company's business, financial condition and results of operations will depend on future developments all of which are uncertain and cannot be predicted. {13}------------------------------------------------ SUPPLEMENTARY INFORMATION {14}------------------------------------------------ ## ■ ## COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION | Total ownership equity | \$9,845,062 | |-------------------------------------------------------------------------------------------------------|-------------| | Deduct ownership equity not allowable for net capital | | | Total ownership equity qualified for net capital | 9,845,062 | | Add: | | | a. Liabilities subordinated to claims of general creditors
allowable in computation of net capital | | | b. Other deductions or allowable credits | | | Total capital and allowable subordinated liabilities | 9,845,062 | | Deduction and/or charges: | | | Total non-allowable assets from Statement of Financial
a.
Condition | 6,770,637 | | b. Other deductions and/or charges | | | Other additions and/or allowable credits | | | Net capital before haircuts on securities positions | 3,074,425 | | Haircuts on securities (computed, where applicable, pursuant to
Rule 15c3-1[f]) | | | Net capital | 3,074,425 | | Net capital requirement | 474,761 | | Excess net capital | \$2,599,664 | {15}------------------------------------------------ ## = ## COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION ## COMPUTATION OF AGGREGATE INDEBTEDNESS Total aggregate indebtedness liabilities \$7,121,410 Percentage of aggregate indebtedness to net capital 233% ### Reconciliation with Company's Computation There is no material difference between the computation of net capital as reported in Concorde Investment Services, LLC Part II amended (Unaudited) FOCUS report dated December 31, 2021 and the above calculations. {16}------------------------------------------------ ## | ## COMPUTATION FOR DETERMINATION OF RESERVE REQUIREMENTS FOR BROKER-DEALER UNDER RULE 15c3-3 Concorde Investment Services, LLC is exempt from the Computation for Determination of Reserve Requirements for Broker-Dealers under Rule 15c3-3 of the Securities and Exchange Commission because of exemption provided under Rule 15c3-3(k)(2)(i), as a broker-dealer, "who, as an introducing broker-dealer, clears all transactions with and for customers on a fully disclosed basis with a clearing broker-dealer ...". {17}------------------------------------------------ # -- - !"#!\$ %& &'( )\*+& #,"-- ./012/345678/791:;6<. =2>9?7@A 5BC1D78E;6<. FGHIJKKLMHNON P.QFGHIJKKOMHLKN ## RSTUVUSTUSWXYYZ[SWXSW\]X^\_UUT[VZSV\_ZYUT[\_U]\_UVZ\_W ZS]Y`UT[aUZbX]]U]]cUSWXSTVXdcUSW]ebZ\_c]RVYfgh ijklmnjopqjrstpmukjpvowqxmyzmpjr{jwujpqm|w}mvkymwk~mp}tumv{ t}jwtoxtultow mlo}mmprjpymqklmpjumqpmvtwuqmqtwmomwqmpklm~muptktmv ulowmukjrowqtwklm~muptktmv|w}mvkjppjkmuktjw{jpjpoktjw~|{~mptmv mvltulopmmwympokmqzmjjwklmouujyowtwmwmpovvmvvymwk mujwuttoktjwjpy~|{rjpklmmopmwqmqsmumyzmpxowomymwkjr {jwujpqm|w}mvkymwk~mp}tumv{{jyowtvpmvjwvtzmrjptkvjpy~|{owqrjp tkvujytowumtklklmotuozmtwvkpuktjwvjwjpy~|{ xowomymwkjrklm{jyowlovopmmqkjowqouwjmqmqklokklmpjumqpmv mprjpymqopmopjptokmkjymmkklmtwkmwqmqpjvmjrovvtvktwjowq~|{tw m}ooktwklm{jyowvujytowumtklklmotuozmtwvkpuktjwvjwjpy~|{rjp klmmopmwqmqsmumyzmpqqtktjwo~|{lovopmmqkjowqouwjmqmq klokklmpjumqpmvmprjpymqopmopjptokmrjpklmtptwkmwqmqpjvmiltvpmjpkyo wjkzmvtkozmrjpowjklmppjvmilmpjumqpmvyowjkoqqpmvvoklmtkmyvjr twkmpmvkkjovmpjrkltvpmjpkowqyowjkymmkklmwmmqvjrovmpvjrkltvpmjpkowqov vulvmpvopmpmvjwvtzmrjpqmkmpytwtwlmklmpklmpjumqpmvmprjpymqopm opjptokmrjpklmtppjvmvilmvrrtutmwujrklmvmpjumqpmvtvvjmklm pmvjwvtzttkjrkljvmopktmvvmutrtmqtwkltvpmjpk{jwvmmwkmyomwjk pmpmvmwkoktjwpmopqtwklmvrrtutmwujrklmpjumqpmvqmvuptzmqzmjmtklmprjpklm pjvmrjpltulkltvpmjpklovzmmwpmmvkmqjprjpowjklmppjvmilmpjumqpmv mmprjpymqowqjprtwqtwvopmovrjjv - {jyopmqklmtvkmqovvmvvymwkoymwkvtwjpy~|{tklpmvmukt}muovl qtvzpvmymwkpmujpqvmwkptmvwjktwwjqtrrmpmwumv - {jyopmqklmijkom}mwmoyjwkvpmjpkmqjwklmwwoqtkmqmjpk jpy¡opk|||rjpklmmopmwqmqsmumyzmptklklmijko m}mwmoyjwkpmjpkmqtwjpy~|{rjpklmmopmwqmqsmumyzmp wjktwwjqtrrmpmwumv - {jyopmqowoq¢vkymwkvpmjpkmqtwjpy~|{tklvjpktwvulmqmv owqjptwompvwjktwwjqtrrmpmwumv - muouokmqklmoptklymktuoouupoujrklmuouoktjwvpmrmukmqtwjpy~|{ owqtwklmpmokmqvulmqmvowqjptwompvvjpktwklmoq¢vkymwkv wjktwwjqtrrmpmwumv owq - {jyopmqklmoyjwkjrowj}mpoymwkotmqtrotuozmkjklmuppmwk ovvmvvymwktklklmjpy~|{jwltultkovjpttwoujykmqwjktwwj qtrrmpmwumv {18}------------------------------------------------ We were engaged by the Company to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the AICPA and in accordance with the standards of the Public Company Accounting Oversight Board (United States). We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the Company's Form SIPC-7 and for its compliance with the applicable instructions on Form SIPC-7 for the year ended December 31, 2021. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. We are required to be independent of the Company and to meet our other ethical responsibilities in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement. This report is intended solely for the information and use of Concorde Investment Services, LLC and the SIPC and is not intended to be and should not be used by anyone other than these specified parties. Roseville, Michigan March 25, 2022 {19}------------------------------------------------ # >?@ABC >?@ABC 7)8p9TST)7TF)7Sq9K9qS)8STq8q9Kq9+STq N (-%#24. '""rrrrrrrrrrrrrrrrr ![](_page_19_Picture_3.jpeg) #### - - | b_b\^i YYbYY]b_abh[_hXiX^aX[_
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> | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | \$%#5#%(%'*25(%'#= | | | | {20}------------------------------------------------ ## DETERMINATION OF "SIPC NET OPERATING REVENUES" AND GENERAL ASSESSMENT Amounts for the fiscal period beginning 01/01/2021 and ending 12331/2021 | Item No.
2a. Total revenue (FOCUS Line 12/Part IIA Line 9, Code 4030) | Eliminate cents
54,868,831
કે | |-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------| | 2b. Additions:
(1) Total revenues from the securities business of subsidiaries (except foreign subsidiaries) and
predecessors not included above. | | | (2) Net loss from principal transactions in securities in trading accounts. | | | (3) Net loss from principal transactions in commodities in trading accounts. | | | (4) Interest and dividend expense deducted in determining item 2a. | | | (5) Net loss from management of or participation in the underwriting or distribution of securities. | | | (6) Expenses other than advertising, printing, registration fees deducted in determining net
profit from management of or participation in underwriting or distribution of securities. | | | (7) Net loss from securities in investment accounts. | | | Total additions | | | 2c. Deductions:
(1) Revenues from the distribution of shares of a registered open end investment company or unit
investment trust, from the sale of variable annuities, from the business of insurance, from investment
advisory services rendered to registered investment companies or insurance company separate
accounts, and from transactions in security futures products. | 5,050,781 | | (2) Revenues from commodity transactions. | | | (3) Commissions, floor brokerage and clearance paid to other SIPC members in connection with
securities transactions. | 173,796 | | (4) Reimbursements for postage in connection with proxy solicitation. | | | (5) Net gain from securities in investment accounts. | | | (6) 100% of commissions and markups earned from transactions in (i) certificates of deposit and
(ii) Treasury bills, bankers acceptances or commercial paper that mature nine months or less
from issuance date. | | | (7) Direct expenses of printing advertising and legal fees incurred in connection with other revenue
related to the securities business (revenue defined by Section 16(9)(L) of the Act). | | | (8) Other revenue not related either directly or indirectly to the securities business.
(See Instruction C): | | | (Deductions in excess of \$100,000 require documentation) | | | (9) (i) Total interest and dividend expense (FOCUS Line 22/PART IIA Line 13,
Code 4075 plus line 2b(4) above) but not in excess
3,834
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of total interest and dividend income. | | | (ii) 40% of margin interest earned on customers securities
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accounts (40% of FOCUS line 5, Code 3960). | | | Enter the greater of line (i) or (ii) | 3,834 | | Total deductions | 5,228,411 | | 2d. SIPC Net Operating Revenues | 49,640,420 | | 2e. General Assessment @ .0015 | 74.461
S | | | (to page 1, line 2.A.) | {21}------------------------------------------------ ./01.2345.4607\* 18694:'3;0<45=\* >\$,-?@@AB,"C" D>\$,-?@@CB,A@" ## EFGHEIHJKLMFGFLMFLIEFNKOIFEFMGPQRKSTSSHPLIKLNJKEU VWXYZW[\]Y^\_`WYaXbZc^de^YW[fWb\_WYZ^gbh^a`d^b`i^Yh]\_^ajkkf k]hWb]Xjc]\_l]mXb n^lXh^Y^h]^o^ZdXbXm^d^b`paa`X`^d^b`aj]b\_qrZ^Z]b`l^X\_\_WdsXbt]bmuv^ds`]Wb w^sWY`j]bol]\_lfWb\_WYZ^gbh^a`d^b`i^Yh]\_^ajkkf]Z^b`][]^Z`l^[WqqWo]bmsYWh]a]WbaW[xy fz{zwz|x}\_~~rbZ^Yol]\_lfWb\_WYZ^gbh^a`d^b`i^Yh]\_^ajkkf\_qX]d^Z`l^[WqqWo]bm ^v^ds`]Wb[YWdxyfz{zwz|zx}\_~~]]^v^ds`]WbsYWh]a]WbaXbZfWb\_WYZ^ gbh^a`d^b`i^Yh]\_^ajkkfa`X`^Z`lX``l^td^``l^]Z^b`][]^Z^v^ds`]WbsYWh]a]Wba`lYWrmlWr``l^ dWa`Y^\_^b`t^XY^bZ^Z\^\_^de^Y~xjxo]`lWr`^v\_^s`]Wbz l^fWdsXbt]aXqaW[]q]bm`l]auv^ds`]Wbw^sWY`e^\_Xra^`l^fWdsXbtaW`l^Yera]b^aa X\_`]h]`]^a\_Wb`^dsqX`^Zet{WW`bW`^yW[`l^iufw^q^Xa^Wz~yy~XZWs`]bmXd^bZd^b`a`W xyfz{zwz|zxyX}XY^q]d]`^Z`W]b\_qrZ^^[[^\_`]bma^\_rY]`]^a`YXbaX\_`]Wbah]Xarea\_Y]s`]WbaWbX area\_Y]s`]WboXteXa]aol^Y^[rbZaXY^sXtXeq^`W`l^]aar^YWY]`aXm^b`XbZbW``W`l^fWdsXbtj sreq]\_bWbq]a`^ZwugiXbZsY]hX`^sqX\_^d^b`W[a^\_rY]`]^aj]b\_qrZ]bmq]^]bZ^v\_lXbm^a srYarXb``Wi^\_`]Wbx~xW[`l^gb`^YbXqw^h^br^fWZ^zgbXZZ]`]Wbj`l^fWdsXbtZ]ZbW`Z]Y^\_`qt WY]bZ]Y^\_`qtY^\_^]h^jlWqZjWYW`l^Yo]a^Wo^[rbZaWYa^\_rY]`]^a[WYWY`W\_ra`Wd^YaZ]ZbW`\_XYYt X\_\_Wrb`aW[WY[WY\_ra`Wd^YaXbZZ]ZbW`\_XYYtVX\_\_Wrb`aXaZ^[]b^Z]bwrq^x}\_~~ `lYWrmlWr``l^dWa`Y^\_^b`[]a\_Xqt^XYo]`lWr`^v\_^s`]Wbz fWb\_WYZ^gbh^a`d^b`i^Yh]\_^ajkkfadXbXm^d^b`]aY^asWba]eq^[WY\_Wdsq]Xb\_^o]`l`l^ ^v^ds`]WbsYWh]a]WbaXbZ]`aa`X`^d^b`az rYY^h]^ooXa\_WbZr\_`^Z]bX\_\_WYZXb\_^o]`l`l^a`XbZXYZaW[`l^req]\_fWdsXbt \_\_Wrb`]bmh^Ya]ml`VWXYZb]`^Zi`X`^aXbZjX\_\_WYZ]bmqtj]b\_qrZ^Z]br]Y]^aXbZW`l^Y Y^r]Y^ZsYW\_^ZrY^a`WWe`X]b^h]Z^b\_^XeWr`fWb\_WYZ^gbh^a`d^b`i^Yh]\_^ajkkfa\_Wdsq]Xb\_^ o]`l`l^^v^ds`]WbsYWh]a]WbazY^h]^o]aarea`Xb`]Xqqtq^aa]ba\_Ws^`lXbXb^vXd]bX`]Wbj`l^ We^\_`]h^W[ol]\_l]a`l^^vsY^aa]WbW[XbWs]b]WbWbdXbXm^d^b`paa`X`^d^b`az\_\_WYZ]bmqtjo^ ZWbW`^vsY^aaar\_lXbWs]b]Wbz VXa^ZWbWrYY^h]^ojo^XY^bW`XoXY^W[XbtdX`^Y]XqdWZ][]\_X`]Wba`lX`alWrqZe^dXZ^`W dXbXm^d^b`paa`X`^d^b`aY^[^YY^Z`WXeWh^[WY`l^d`We^[X]Yqta`X`^Zj]bXqqdX`^Y]XqY^as^\_`aj eXa^ZWb`l^sYWh]a]Wbaa^`[WY`l]bsXYXmYXsla]]W[wrq^x}\_~~rbZ^Y`l^i^\_rY]`]^a uv\_lXbm^\_`W[x~XbZ`l^fWdsXbtaW`l^Yera]b^aaX\_`]h]`]^a\_Wb`^dsqX`^Zet{WW`bW`^y W[`l^iufw^q^Xa^Wz~yy~XZWs`]bmXd^bZd^b`a`Wxyfz{zwz|zxyX}jXbZY^qX`^Z iufi`X[[{Y^r^b`qta^Zr^a`]Wbaz wWa^h]qq^jc]\_l]mXb cXY\_l}j {22}------------------------------------------------ #### Concorde Investment Services, LLC Exemption Report Prepared Pursuant to Securities and Exchange Act of 1934 Rule 17a-5, Subsection 240.17a-5(d)(1) and (4) of the U.S. Securities and Exchange Commission December 31, 2021 #### Concorde Investment Services, LLC Exemption Report The following statements are made to the best knowledge and belief of Kathleen Hofer as chief financial officer of Concorde Investment Services, LLC: Concorde Investment Services, LLC, (the Company) is a registered broker-dealer subject to Rule 17a-5 promulgated by the Securities and Exchange Commission (17 C.F.R. Section 240.17a-5, "Reports to be made by certain brokers and dealers"). This Exemption Report was prepared as required by 17 C.F.R. Section 240.17a-5(d)(1) and (4). To the best of its knowledge and belief, the Company states the following: The Company claimed exemption from 17 C.F.R. Section 240.15c3-3 under the following provisions of 17 C.F.R. Section 240.15c3-3 (k): (2)(ii) The Company met the identified exemption provisions in 17 C.F.R. Section 240.15c3 (k) throughout the most recent fiscal year ended December 31, 2021 without exception. The Company is also filing this Exemption Report because the Company's other business activities contemplated by Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. Section 240.17a-5 are limited to include (1) effecting securities transactions via subscriptions on a subscription way basis where the funds are payable to the issuer or its agent and not to the Company, (2) public non-listed REITS and (3) the private placement of securities, including like-kind exchanges pursuant to Section 1031 of the Internal Revenue Code, and the Company (1) did not directly receive, hold, or otherwise owe funds or securities for or to customers; (2) did not carry accounts of or for customers; and did not carry PAB accounts (as defined in Rule 15c3-3) throughout the most recent fiscal year without exception. I, Kathleen Hofer, affirm that, to the best of my knowledge and belief, this Exemption Report is true and correct. athlesen No, Signature Title 3/17/2022 Date Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.