Clearing Letter to Clients

February 10, 2015

Dear Customer/Dealer,

Imperial Capital, LLC is a wholly-owned subsidiary of Imperial Capital Group, LLC, a financial services holding company.

Imperial Capital, LLC is a registered securities broker/dealer specializing in distressed and high yield bonds, bank debt, convertibles, preferred securities, and equities. Imperial Capital, LLC clears its securities transactions, on a fully disclosed basis, through Pershing, LLC, a wholly-owned subsidiary of The Bank of New York Mellon Corporation. Accordingly, Pershing will settle any bona fide transactions effectuated through them by Imperial Capital, LLC.

The Securities Investors Protection Corporation (SIPC) protects customer covered account assets up to $500,000 (including a maximum of $250,000 for claims for cash). In addition to SIPC protection, Pershing provides coverage in excess of SIPC limits from certain underwriters in the Lloyd’s insurance market and other commercial insurers. The excess of SIPC insurance program is valid through February 10, 2018 and provides protection for Pershing, LLC’s global client assets up to an aggregate loss limit of $1 billion for eligible securities across all client accounts with a per-client loss limit of $1.9 million for cash awaiting reinvestment within the aggregate loss limit of $1 billion. Neither SIPC nor the excess of SIPC insurance policy protect against loss due to market fluctuation of investments. An explanatory brochure is available upon request or at SIPC ( SIPC’s telephone number is (202) 371-8300 and their email address is

An excess of SIPC claim would only arise if Pershing, LLC failed financially and client assets for covered accounts—as defined by SIPC—cannot be located due to theft, misplacement, destruction, burglary, robbery, embezzlement, abstraction, failure to obtain or maintain possession or control of client securities, or to maintain the special reserve bank account required by applicable rules.

Lloyd’s currently holds A+ ratings from Standard & Poor’s® (S&P®), an A rating from A.M. Best, and an AA- rating from Fitch. These ratings are based on the financial strength of the company and are subject to change by the rating agencies at any time (ratings as of December 2016). For more information about Lloyd’s, please see

For additional information regarding the financial strength and stability of Pershing and its parent company, The Bank of New York Mellon Corporation, please visit


Sincerely yours,

Imperial Capital, LLC