Covered Broker or Dealer [Banks & Banking] Law and Legal Definition

Pursuant to 12 USCS § 5381 (7) [Title 12. Banks and Banking; Chapter 53. Wall Street Reform and Consumer Protection; Orderly Liquidation Authority], the term covered broker or dealer means “a covered financial company that is a broker or dealer that--

(A) is registered with the Commission under section 15(b) of the Securities Exchange Act of 1934 (15 U.S.C. 78o(b)); and

(B) is a member of SIPC (Securities Investor Protection Corporation).”