Full text of FLOW TRADERS U.S. INSTITUTIONAL TRADING LLC's X-17A-5 filed 2019-02-28 (period 2018-12-31). Broker-dealer annual report from SEC EDGAR — readable, searchable, and available as markdown for AI agents.
{0}------------------------------------------------ # **FLOW TRADERS US INSTITUTIONAL TRADING LLC** **Statement of Financial Condition** # **December 31, 2018** ### **1. Organization and Business** Flow Traders US Institutional Trading LLC (the "Company"), a Delaware limited liability company, was organized on November 12th, 2015. The Company is a broker-dealer registered with the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority. The Company acts as a riskless principal between institutional counterparties, its affiliate Flow Traders US LLC, and other broker-dealers, for exchange traded products ("ETP"). Flow Traders US Holding LLC is the Company's sole member. The Company has applied for a membership in the National Futures Association ("NFA") and is currently pending approval. ### **2. Summary of Significant Accounting Policies** #### Depreciation and Amortization Equipment and furniture is being depreciated on a straight-line basis with a useful life of 5 years (60 months). ### Income Taxes Flow Traders US Institutional Trading LLC is a disregarded entity for tax purposes. No provision has been made for federal US income taxes as the taxable income or loss of Flow Traders US Institutional Trading LLC is included in the respective income tax return of the sole member. In accordance with GAAP, the Company is required to determine whether its tax positions are more likely than not to be sustained upon examination by the applicable taxing authority, based on the technical merits of the position. Generally, the Company is no longer subject to income tax examinations by major taxing authorities for the years before 2015. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant taxing authorities. Based on its analysis, the Company has determined that it has not incurred any liability for unrecognized tax benefits as of December 31 , 2018. #### Use of Estimates The preparation of financial statements in conformity with US Generally Accepted Accounting Principles requires management to make estimates and assumptions that affect the 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 these estimates. #### Tr…Read the full text as markdown