1. (1) No broker-dealer may conduct broker-dealer services on the premises of a financial institution where retail deposits are taken unless the broker-dealer complies initially and continuously with the requirements set forth in FINRA Rule 3160.
2. (2) This section does not alter or abrogate a broker-dealer's obligations to comply with other applicable laws, rules, or regulations that may govern the operations of broker-dealers and their agents, including but not limited to, supervisory obligations. These rules do not apply to broker-dealer services provided to nonretail customers.

3. (3) Definitions:

   1. (a) For purposes of this section, the term financial institution means federal and state-chartered banks, savings and loan associations, savings banks, credit unions, and the service corporations of such institutions located in South Dakota.
   2. (b) "Broker-dealer services" means the investment banking or securities business as defined in paragraph (u) of Article I of the By-Laws of FINRA.

Source: 27 SDR 5, effective July 31, 2000; 30 SDR 211, effective July 1, 2004; 37 SDR 112, effective December 9, 2010.

General Authority: SDCL 47-31B-605(a)(1) to (3) , inclusive.

Law Implemented: SDCL 47-31B-605(a)(2) , 47-31B-605(a)(3).