# ASSETPOINT FINANCIAL, LLC X-17A-5 (2025-03-31) — Broker-dealer annual report - Company: ASSETPOINT FINANCIAL, LLC - Form: X-17A-5 - Filed: 2025-03-31 - Period: 2024-12-31 - Accession: 0001584248-25-000002 - CIK: 1584248 - File #: 8-69332 - Type: Broker-dealer - Material weakness: No - Auditor: KPMG LLP - Auditor location: McLean, VA - Contact: William T. Bergin - Phone: 703-292-3489 - Email: bbergin@intrafi.com - Website: bankassetpoint.com - Signed by: William T. Bergin (Chief Compliance Officer) Original filing: https://www.sec.gov/Archives/edgar/data/1584248/000158424825000002/apfconf1224.pdf --- {0}------------------------------------------------ **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549** OMB APPROVAL OMB Number: ϯϮϯϱͲϬϭϮϯ Expires: EŽǀ͘ϯϬ͕ϮϬϮϲ Estimated average burden hours per response: # **ANNUAL REPORTS FORM X-17A-5 PART III** SEC FILE NUMBER 8-69332 | | FACING PAGE | | | | |-----------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------|-----------------|---------------------------------------| | Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934
1/1/2024
12/31/2024 | | | | | | FILING FOR THE PERIOD BEGINNING _____________________ AND ENDING ______________________
MM/DD/YY | | MM/DD/YY | | | | | A. REGISTRANT IDENTIFICATION | | | | | Assetpoint
NAME OF FIRM: _______________________________________________________________________ | Financial,
LLC | | | | | TYPE OF REGISTRANT (check all applicable boxes):
܆
܆
Broker-dealer
■
܆ Check here if respondent is also an OTC derivatives dealer | ܆
Security-based swap dealer | | | Major security-based swap participant | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | | 1300
North
17th
Street,
_____________________________________________________________________________________ | Suite
1800 | | | | | | (No. and Street) | | | | | Arlington
_____________________________________________________________________________________ | Va | | 22209 | | | (City) | (State) | | (Zip Code) | | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | William
T.
Bergin
_____________________________________________________________________________________ | 703-292-3489 | bbergin@intrafi.com | | | | (Name) | (Area Code – Telephone Number) | | (Email Address) | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing* | | | | | | KPMG
LLP | | | | | | _____________________________________________________________________________________
(Name – if individual, state last, first, and middle name) | | | | | | 8350
Broad
Street
_____________________________________________________________________________________ | McLean | | VA | 22102 | | (Address) | (City) | | (State) | (Zip Code) | | 10/20/2003 | | #185 | | | | | _____________________________________________________________________________________
(Date of Registration with PCAOB)(if applicable)
(PCAOB Registration Number, 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 accountant must be supported by a statement of facts and circumstances relied on as the basis of the exemption. See 17 CFR 240.17a-5(e)(1)(ii), 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.** {1}------------------------------------------------ William T. Bergin | 12/31 | Assetpoint Financial LLC
024 | |-------|---------------------------------| | | | | | | | | | | | | | | | | | | | | Chief Compliance Officer | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | {2}------------------------------------------------ Financial Statements and Supplementary Information Pursuant to Rule 17a-5 under the Securities Exchange Act of 1934 December 31, 2024 (With Report of Independent Registered Public Accounting Firm Thereon) This report is deemed CONFIDENTIAL in accordance with Rule 17a-5(e)(3) of the Securities Exchange Commission Act of 1934. {3}------------------------------------------------ #### Table of Contents #### **Page** | Report of Independent Registered Public Accounting Firm | 1 | |------------------------------------------------------------------------------------------------------------------------------------------------------------|-----| | Financial Statements: | | | Statement of Financial Condition, December 31, 2024 | 2 | | Statement of Operations, Year ended December 31, 2024 | 3 | | Statement of Changes in Member's Equity, Year ended December 31, 2024 | 4 | | Statement of Cash Flows, Year ended December 31, 2024 | 5 | | Notes to Financial Statements | 6-9 | | Report of Independent Registered Public Accounting Firm on Exemption Report | 10 | | Assetpoint Financial, LLC Exemption Report, December 31, 2024 | 11 | | Supplementary Information | | | Schedule I – Computation of Net Capital and Aggregate Indebtedness under Rule 15c3-1 of the
Securities and Exchange Commission, December 31, 2024 | 12 | | Schedule II – Computation of Determination of Reserve Requirements under Rule 15c3-3 of the
Securities and Exchange Commission, December 31, 2024 | 13 | | Schedule III – Information Related to Possession or Control Requirements under Rule 15c3-3 of the
Securities and Exchange Commission, December 31, 2024 | 14 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) KPMG LLP Suite 900 8350 Broad Street McLean, VA 22102 #### **Report of Independent Registered Public Accounting Firm** To the Member and Management Assetpoint Financial, LLC: #### *Opinion on the Financial Statements* We have audited the accompanying statement of financial condition of Assetpoint Financial, LLC (the Company) as of December 31, 2024, the related statement of operations, changes in member's equity, and cash flows for the year then ended, and the related notes (collectively, the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024, and the results of its operations and its cash flows for the year then ended in conformity with U.S. generally accepted accounting principles. #### *Basis for Opinion* These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these 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 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 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. #### *Accompanying Supplemental Information* The supplemental information contained in Schedules I, II, and III has been subjected to audit procedures performed in conjunction with the audit of the Company's financial statements. The supplemental information is the responsibility of the Company'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 supplemental information contained in Schedules I, II, and III is fairly stated, in all material respects, in relation to the financial statements as a whole. ![](_page_4_Picture_11.jpeg) We have served as the Company's auditor since 2015. McLean, Virginia March 28, 2025 {5}------------------------------------------------ #### CONFIDENTIAL #### **ASSETPOINT FINANCIAL, LLC** #### Statement of Financial Condition December 31, 2024 #### **Assets** | Cash | \$
4,722,393 | |---------------------------------------|-----------------| | Accounts receivable | 175,556 | | Prepaid expenses | 65,660 | | Fixed assets, net | 199,374 | | Total assets | \$
5,162,983 | | Liabilities and member's equity | | | Due to parent | 73,723 | | Other current liabilities | 1,826 | | Total liabilities | 75,549 | | Member's equity: | | | Contributed capital | 2,809,988 | | Retained earnings | 2,277,446 | | Total member's equity | 5,087,434 | | Total liabilities and member's equity | \$
5,162,983 | | | | {6}------------------------------------------------ #### CONFIDENTIAL #### **ASSETPOINT FINANCIAL, LLC** #### Statement of Operations #### Year ended December 31, 2024 | Revenue | \$
2,333,813 | |-------------------------------|-----------------| | Interest income | 102,370 | | Total revenue | 2,436,183 | | Operating expenses: | | | Corporate allocation | 125,361 | | Depreciation | 29,000 | | Professional fees | 166,593 | | Dues, fees, and subscriptions | 65,791 | | Incentive compensation | 37,178 | | Other | 2,242 | | Total operating expenses | 426,165 | | Net income | \$
2,010,018 | {7}------------------------------------------------ #### CONFIDENTIAL #### **ASSETPOINT FINANCIAL, LLC** #### Statement of Changes in Member's Equity #### Year ended December 31, 2024 | | Changes in Member's Equity | | | | |--------------------------------------|----------------------------|----------------------|-----------------------------|--| | | Contributed
Capital | Retained
Earnings | Total
Member's
Equity | | | Balance at December 31, 2023 | \$
3,139,339 | 267,427 | 3,406,766 | | | Foregiveness of intercompany balance | (329,350) | - | (329,350) | | | Net income | - | 2,010,018 | 2,010,018 | | | Balance at December 31, 2024 | \$
2,809,988 | 2,277,446 | 5,087,434 | | {8}------------------------------------------------ #### Statement of Cash Flows ## Year ended December 31, 2024 | Cash flows from operating activities: | | |-----------------------------------------------------------------------------------|-----------------| | Net income | \$
2,010,018 | | Adjustments to reconcile net income to net cash provided by operating activities: | | | Depreciation | 29,000 | | Increase in accounts receivable | (8,960) | | Increase in prepaid expenses | (10,267) | | Decrease in accounts payable | (5,875) | | Decrease in due to parent | (314,801) | | Increase in other current liabilities | 581 | | Net cash provided by operating activities | 1,699,696 | | Cash flows from investing activities: | | | Fixed asset additions | (107,037) | | Net cash used in investing activities | (107,037) | | Net increase in cash | 1,592,659 | | Cash, beginning of year | 3,129,734 | | Cash, end of year | \$
4,722,393 | {9}------------------------------------------------ Notes to Financial Statements December 31, 2024 ## **(1) Summary of Significant Accounting Policies** ## *(a) Organization* Assetpoint Financial, LLC (Company and/or APF) was formed in the State of Delaware in July 2013 as a wholly owned subsidiary of IntraFi Network, LLC (IFN and/or Member) formerly Promontory Interfinancial Network, LLC. IFN is the sole member of APF and is a Delaware limited liability company that was formed in May 2002. Nexus Buyer LLC is the sole member of IFN. Nexus Buyer LLC is a wholly owned subsidiary of Nexus Intermediate Parent LLC, who, in turn, is a wholly-owned subsidiary of Nexus Parent LLC. IFN provides services to APF including, but not limited to, sales, legal, marketing, human resources, and finance and accounting pursuant to an intercompany services agreement. The Company is a registered broker-dealer with the Securities and Exchange Commission and a member of the Financial Industry Regulatory Authority (FINRA). The Company is not subject to the requirements of the Customer Protection Rule (Securities and Exchange Commission (SEC) Rule 15c3-3) because the Company's business activities are limited to those set forth in the conditions for exemption appearing in Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. § 240.17a-5. APF is an affiliate through common ownership of Assetpoint Services, LLC (APS), a Delaware limited liability company formed in September 2012. APS operates an informational website named Bank Assetpoint® (www.bankassetpoint.com) on which eligible participants can post and view listings of certain eligible assets. Eligible participants include banks, savings associations, credit unions, licensed commercial real estate brokers, loan sale advisory firms, and other sophisticated entities that meet certain requirements indicating that they have experience in buying or selling real estate or loan assets. Eligible assets include commercial real estate and certain loan assets. The Company's business plan involves offering securities listing services, private placement services, services involving hedging instruments for customers offering marketed-linked certificates of deposit, as well as other brokerage services. The Company also offers a Repo Service that allows banks and other financial institutions to enter repurchase agreement transactions for themselves or as agents for their customers with one or more unaffiliated third-party securities dealers. APF performs agent duties in connection with the Repo Service, will not be party to any repo transaction, and does not at any time have custody of cash or securities in connection with the Repo Service. In 2024, APF's revenue was 100% attributable to the Repo Service. ## *(b) Use of Estimates* The preparation of financial statements and accompanying notes in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimated amounts. ## *(c) Cash and Cash Equivalents* The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. {10}------------------------------------------------ ## Notes to Financial Statements December 31, 2024 ## *(d) Accounts Receivable* Substantially all accounts receivable are expected to be collected within one year. Management monitors past due balances with clients and, for accounts where collectability is not probable, management records an allowance for uncollectible accounts receivable to reflect management's best estimate of expected recovery. As of December 31, 2024, there is no allowance for uncollectible accounts ## *(e) Software Developed for Internal Use* Costs incurred for software developed for internal use are capitalized during the implementation stage and depreciated over the estimated useful life of the software, up to five years. Such amounts are reported as fixed assets. Costs incurred in the project planning or post-implementation stages are expensed as incurred. ## *(f) Revenue Recognition* The Company offers the Repo Service, through which APF refers banks and other financial institutions to a Repo Dealer to enter repo transactions for themselves or as agents for their customers. Pursuant to a referral agreement between the Repo Dealer and APF, APF earns Repo Service revenues by providing a series of services which form a single performance obligation. APF's performance obligation is satisfied at the point in time when a repo transaction is executed. As compensation for such services, the Repo Dealer pays APF a referral fee equal to a contractually determined percentage of the dollar amount of the repo transaction. ## *(g) Recent Accounting Pronouncement* In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The ASU improves reportable segment disclosure requirements and requires enhanced disclosures about significant segment expenses. The Company adopted this amendment as of December 31, 2024, on a retrospective basis. See Note 7, "Segment Reporting", in the notes to the financial statements for additional details on the impact of adoption of the ASU. ## **(2) Income Taxes** The Company is a single-member limited liability company and as such is not subject to federal or state income taxes. Rather, the member is liable for any income taxes on the Company's profits. Income taxes have not been allocated to the Company as: (a) there is no contractual tax-sharing agreement between the Company and its parent, (b) distributions to the member have not been made specifically to service any tax obligations of the parent, and (c) there is no present intention to enter into a tax-sharing agreement or to make future distributions specifically to service any tax obligations of the parent. Therefore, a provision for income taxes is not included in the accompanying statement of operations. ## **(3) Net Capital Requirements** The Company is subject to the Securities and Exchange Commission's Uniform Net Capital Rule 15c3-1 (Rule 15c3-1) and is required to maintain a minimum net capital equivalent to \$5,000 or 6 2/3% of aggregate indebtedness, whichever is greater, as these terms are defined. Rule 15c3-1 restricts a broker-dealer from engaging in any securities transactions when its aggregate indebtedness exceeds 15 times its net capital as those terms are defined by Rule 15c3-1. Net capital and aggregate indebtedness change from day to day. At December 31, 2024, the Company had net capital of \$4,646,845 which was \$4,641,808 in excess of its required capital of \$5,037. The Company's aggregate indebtedness at December 31, 2024, was \$75,549. {11}------------------------------------------------ #### Notes to Financial Statements December 31, 2024 #### **(4) Transactions with Affiliates** #### *(a) Due to / from Parent* During 2024, the Company incurred expenses that were paid by IFN on the Company's behalf. In October 2024, IFN reduced its capital contribution of \$329,350 to forgive the due from IFN. The December 31, 2024 ending balance of \$73,723 will be paid by the Company and the balance will be subsequently retired in 2025. ## *(b) Corporate Allocation* In addition to specific operating expenses incurred by the Company and charged directly to operations, other costs such as compensation, telecom, office supplies, occupancy costs, depreciation, professional services, technology enhancements, and capitalized labor are incurred by IFN but shared with the Company. Pursuant to an agreement with IFN effective October 1, 2014, the Company allocates expenses based on overhead department expenses incurred at IFN that are then allocated based on the time spent by employees who have performed work over the Repo product. No changes have been made to this expense allocation methodology since inception. In 2024, the Company is allocated a share of these costs as follows: ## **Overhead costs:** | Wages and related expenses | \$
98,571 | |----------------------------|---------------| | Telephone | 812 | | Office supplies/furnishing | 163 | | Rent | 3,817 | | Depreciation | 731 | | Professional services | 1,860 | | Technology enhancements | 16,682 | | Other miscellaneous | 2,725 | | | \$
125,361 | In the opinion of management, the aforementioned corporate allocation is believed to be reasonable; however, the allocated costs are not necessarily indicative of the expenses the Company may have incurred on its own account. #### **(5) Fixed Assets** Fixed assets at December 31, 2024 consist of capitalized software development costs of \$1,581,571 and accumulated depreciation of \$1,382,197. Included in the capitalized development costs are \$107,037 of allocated internal and external labor that has been incurred at IFN and shared with the Company. In 2024 the Company recorded \$29,000 of depreciation expense. ## **(6) Commitments and Contingencies** In the ordinary course of business, various claims, lawsuits, regulatory investigations, and fines may be brought by or against the Company. As of the end of the year, there were no such claims, lawsuits, regulatory investigations, or fines brought by or against the Company. {12}------------------------------------------------ Notes to Financial Statements December 31, 2024 ## **(7) Segment Reporting** The Company is engaged in a single line of business as a broker-dealer, which is comprised of one class of service and principal transactions. The Company has identified its Chief Compliance Officer as the chief operating decision maker ("CODM"), who uses net income to evaluate the results of the business, predominantly in the forecasting process, to manage the Company. Additionally, the CODM uses excess net capital (see Note 3), which is not a measure of profit and loss, to make operational decisions while maintaining capital adequacy, such as whether to reinvest profits or pay dividends. The Company's operations constitute a single operating segment and therefore, a single reportable segment, because the CODM manages the business activities using the information of the Company as a whole. The accounting policies used to measure the profit and loss of the segment are the same as those described in the summary of significant accounting policies. The Company derived 100 percent of its revenue from a single external customer in 2024. ## **(8) Subsequent Events** Subsequent to December 31, 2024 and through March 28, 2025, the date through which management evaluated subsequent events, and on which date the financial statements were available to be issued, the Company did not identify any material subsequent events. {13}------------------------------------------------ ![](_page_13_Picture_0.jpeg) KPMG LLP Suite 900 8350 Broad Street McLean, VA 22102 #### **Report of Independent Registered Public Accounting Firm** To the Member and Management Assetpoint Financial, LLC: We have reviewed management's statements, included in the accompanying Assetpoint Financial, LLC Information Relating to Possession or Control Requirements Under Rule 15c3-3 of the Securities and Exchange Commission (the Exemption Report), in which (1) Assetpoint Financial, LLC (the Company) did not claim an exemption under paragraph (k) of 17 C.F.R. § 240.15c3-3 and (2) is filing the Exemption Report pursuant to footnote 74 of SEC Release No. 34-70073 adopting amendments to 17 C.F.R. § 240.17a-5 because the Company limits its business activities exclusively to referral arrangements that facilitate the entry by banks and other financial institutions into repurchase agreement transactions for themselves or as agents for their customers, including unaffiliated third-party securities dealers, and the Company did not directly or indirectly receive, hold, or otherwise owe funds or securities for or to customers*;* did not carry accounts of or for customers; and did not carry PAB accounts (as defined in Rule 15c3-3) (together, the exemption provisions). We have also reviewed management's statements, included in the Exemption Report, in which the Company stated that it met the identified exemption provisions throughout the year ended December 31, 2024 without exception*.* The Company's management is responsible for compliance with the exemption provisions and its statements. Our review was conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States) and, accordingly, included inquiries and other required procedures to obtain evidence about the Company's compliance with the exemption provisions. A review is substantially less in scope than an examination, the objective of which is the expression of an opinion on management's statements. Accordingly, we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to management's statements referred to above for them to be fairly stated, in all material respects, pursuant to footnote 74 of SEC Release No. 34-70073 adopting amendments to 17 C.F.R. § 240.17a-5. ![](_page_13_Picture_7.jpeg) McLean, Virginia March 28, 2025 {14}------------------------------------------------ {15}------------------------------------------------ #### Computation of Net Capital Under Rule 15c3-1 of the Securities and Exchange Commission December 31, 2024 | Total member's equity | \$
5,087,434 | |-----------------------------------------------------------------------------------|-----------------| | Less nonallowable assets | 440,589 | | Net capital | 4,646,845 | | Net capital required (the greater of \$5,000 or 6 2/3% of aggregate indebtedness) | 5,037 | | Excess net capital | \$
4,641,808 | | Aggregate indebtedness | 75,549 | | Ratio of aggregate indebtedness to net capital | 1.63% | There are no material differences between the preceding computation and the Company's corresponding unaudited part II of Form X-17A-5 as of and for the year ended December 31, 2024, which was filed on January 28, 2025, amended and refiled on March 19, 2025. See accompanying report of independent registered public accounting firm. {16}------------------------------------------------ CONFIDENTIAL Schedule II ## **ASSETPOINT FINANCIAL, LLC** Computation for the Determination of the Reserve Requirements Under Rule 15c3-3 of the Securities and Exchange Commission December 31, 2024 The Company is filing an Exemption Report relying on Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. § 240.17a-5 because the Company limits its business activities exclusively to referral arrangements that facilitate the entry by banks and other financial institutions into repurchase agreement transactions for themselves or as agents for their customers, including unaffiliated third-party securities dealers and the Company (1) did not directly or indirectly receive, hold, or otherwise owe funds or securities for or to customers; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3-3) throughout the most recent fiscal year without exception. See accompanying report of independent registered public accounting firm. {17}------------------------------------------------ Information Relating to Possession or Control Requirements Under Rule 15c3-3 of the Securities and Exchange Commission December 31, 2024 The Company is filing an Exemption Report relying on Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. § 240.17a-5 because the Company limits its business activities exclusively to referral arrangements that facilitate the entry by banks and other financial institutions into repurchase agreement transactions for themselves or as agents for their customers, including unaffiliated third-party securities dealers and the Company (1) did not directly or indirectly receive, hold, or otherwise owe funds or securities for or to customers; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3-3) throughout the most recent fiscal year without exception. See accompanying report of independent registered public accounting firm. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.