South Dakota Broker-Dealer or Investment Adviser Bond

How much will a South Dakota investment adviser or broker dealer bond cost?

South Dakota investment adviser bond costs start at $100 annually. Your personal surety bond cost will be provided after a quick application review.

How do I get a South Dakota broker-dealer or investment adviser bond?

You can apply for your South Dakota broker-dealer or investment adviser bond online 24/7. Simply provide your name, address, and license type for Division of Insurance filing approval. Once your payment has been processed, you'll receive a digital copy of your surety bond by email, and your physical documentation will be delivered to your preferred mailing address.

How fast can I get a broker-dealer or investment adviser surety bond?

Our industry-leading technology and responsive customer service team allow us to deliver your official South Dakota broker-dealer or investment adviser bond faster than any other surety company. The Division of Insurance requires your bond form be physically delivered to you. If you're in a rush, choose overnight shipping when submitting your order.

What is a South Dakota broker-dealer or investment adviser bond?

South Dakota Codified Laws Section 47-31B-411 requires broker-dealers and investment advisers who have custody of or discretionary authority over client funds or securities to have insurance or be bonded. The surety bond guarantees the adviser or broker completes investment services in compliance with state security laws and regulations, including the Securities Exchange Act. If they fail to do so, their issuing surety company will pay damages for valid claims up to the full bond amount, which the bondholder is required to reimburse.  

Who regulates licensing for broker-dealers and investment advisers? 

The South Dakota Department of Labor and Regulation Division of Insurance enforces licensure requirements for broker-dealers and investing advisers working in the state. You can contact the Division by calling 1(605)773-3563 or by submitting an online contact form. 

How do I update or change my surety bond form?

If the Division of Insurance - Securities Regulation requires your bond form to be updated for any reason, contact your surety company. If you purchased your bond from SuretyBonds.com, email [email protected] to explain the needed change. The most common changes for these bonds include updating the following information.

• name
• address
• license type 

What are the renewal requirements for an investment adviser or broker-dealer bond? 

Your investment adviser surety bond in South Dakota must be renewed at the end of its current term. Once you pay your SuretyBonds.com renewal invoice, renewal instructions will be sent to you keep your bond active. 

What are the steps to become a licensed broker-dealer or investment adviser in South Dakota? 

File the documentation below with the Central Registration Depository to become a licensed broker-dealer in South Dakota. 

• application
• $150 registration fee
• surety bond (if applicable) 

The documentation below must be filed with the Investment Adviser Registration Depository to become a registered investment adviser in South Dakota. 

• form ADV
• $100 registration fee
• surety bond (if applicable) 

What are the consequences of a bond claim against an investment adviser or broker dealer in South Dakota?

A bondholder's issuing surety company will pay valid claims up to the full $10,000 bond amount. The bonded financial professional must reimburse the surety company for all claims paid.