Large Trader Reporting Requirement

What is a "Large Trader"?

A Large Trader is defined as a person (legal entity or individual) who, directly or indirectly, through the exercise of investment discretion, effects transaction in NMS securities that equal or exceed, in the aggregate of:

2 million shares or $20 million during any calendar day

20 million shares or $200 million over any calendar month

Please note that purchase or sale of securities pursuant to exercises or assignments of options are not inclusive.

For additional information on the Large Trader Reporting requirement, please visit:

SEC: http://www.sec.gov/divisions/marketreg/large-trader-faqs.htm

FINRA: https://www.finra.org/filing-reporting/electronic-blue-sheets-ebs/faq

What are the requirements for a Large Trader?

A Large Trader must identify themselves to the SEC by filing Form 13H. Please note that all information provided through Form 13H is confidential and not accessible to the public. The SEC will then assign an unique, 13-characters Large Trader Identification Number (LTID), which the Large Trader must in turn disclose to all broker-dealers effecting transactions on its behalf and identify to which account(s) it is applicable.

Please also note the below six types of 13H Filings:

Initial Filing: A person must "promptly" file an initial Form 13H after its transactions reach the identifying activity level. The SEC states that under normal circumstances, "promptly" means 10 days.
Annual Filing: After its initial filing, Large Traders must file an annual Form 13H within 45 days after the end of each full calendar year.
Amended Filing: In the event any information in the Form 13H becomes inaccurate for any reason, Large Traders must file an amended 13H following the end of the calendar quarter.
Inactive/Reactivated Filing: A Large Trader that ceases to meet the identifying activity level during the previous full calendar year may file an inactive status Form 13H, which permits such trader to cease both filing a Form 13H and disclosing its Large Trader status. In the event such trader's transactions once again meet the identifying activity level, it must submit a reactivated status Form 13H.
Termination Filing: A Large Trader that ceases operations or, in some cases, is acquired, may file a termination Form 13H terminating its Large Trader status.

Details on how to file Form 13H electronically can be found at:

http://www.sec.gov/info/edgar.shtml and https://www.edgarfiling.sec.gov/

Does any type of account have exemption from the Large Trader Reporting requirement?

All account types (including non-US accounts) are subject to the same requirement.

Important: Individuals or entities must monitor their own trading activity to determine whether it equals or exceeds the identifying activity level in aggregate, and then disclose their Large Trader status to both the SEC (by filing Form 13H) and their broker-dealers (by providing them their LTID).