Annual Disclosure Statement Regarding Partially Called Bonds

Annual Disclosure Statement Regarding Partially Called Bonds

Janney is providing this disclosure to inform you of the basic processing applied by Janney regarding the impartial lottery process for callable bonds. 

When you purchase bonds that are callable in part (i.e., less than the full amount of outstanding bonds may be called), per FINRA Rule 4340 (Securities Callable in Part), Janney is required to run an impartial lottery which calls bonds from client accounts on a randomly selected basis, and holds them until the applicable redemption date. The process by which client accounts are randomly selected can be found on the Janney website, by clicking here. 

For more information on partially called bonds, there are several websites with valuable information, including:

U.S. Securities and Exchange Commission

https://www.sec.gov/answers/callablebonds.htm

Financial Industry Regulatory Authority

http://www.finra.org

FINRA Rule 4340

http://www.finra.org/industry/regulation/notices/2014/p443192

For more information about Janney, please see Janney’s Relationship Summary (Form CRS) on www.janney.com/crs which details all material facts about the scope and terms of our relationship with you and any potential conflicts of interest.

To learn about the professional background, business practices, and conduct of FINRA member firms or their financial professionals, visit FINRA’s BrokerCheck website: http://brokercheck.finra.org/