Operations By Michel Tsaparlis, Vice President of Advisory Services Greg Heinrich, Vice President of Trading Harold Soria, Cashiering Team Lead

Client Profile and New Account Form Reminder Registered Representatives are reminded to make sure that the Client Profile Form and New Accounts forms are fully and accurately completed prior to submission.  KSI requires customer initials to certain changes and additions. What are those changes and additions?   Date of Birth Social Security Number Address Email address Telephone number Material changes to liquid net worth, total net worth or income.  What's material? A  15% or greater change. Changes to risk tolerance, or if missing Changes to client objectives, or if missing Changes to date of application, or if missing KSI may also require initials for other changes, at the firm's discretion.   A few changes do not require client initials.  In these cases, it's generally a clear case of transposing numbers or letters, or a typo, AND the correct information can be independently verified with a document such as driver's license or by information obtained by the firm.

Trading Department Trading@kovackadvisors.com GREG Heinrich Kovack Team: GREG Heinrich Laurie Hlavaty Ken Forester Justin Kelly Trading@kovackadvisors.com

Help us…. Help you!

Things we need… Account Number ? Clearing Firm: Pershing, IWS or NFS? Ticker Symbol or Cusip #? Unsolicited or Solicited? Market or Limit order (GTC = 180 days) Commission? Rep code?

Tools For You Mutual Fund Screener U.I.T. Center Folio Dynamix Fixed Income Trade Consulting

Kovack Cashiering Department Winnaa Wright- VP of Operations Harold Soria- Cashiering Team Lead Joe Cintron- Cashiering Associate (NFS) Laurel Miller- Cashiering Associate (Pershing/IWS/TD) Cashiering@kovacksecurities.com Cashiering Fax#: 954-332-9233

Kovack Cashiering Department Cashiering Overview Cashiering Procedures Streetscape- Integrated Cashiering Platform (ICP) NetEx360- Asset Movement Standing Instructions Mobile Check Deposit Questions

Kovack Cashiering Department Cashiering Procedures Deposits Check Deposits Acceptable/Not Acceptable ACH (Pershing Limits) Incoming Wires Withdrawals 1st Party (Checks, ACH, Wires) 3rd Party (Checks, ACH, Wires) Wires/Recorded Calls

Kovack Cashiering Department Streetscape- Intergrated Cashiering Platform (ICP)

Kovack Cashiering Department Streetscape- Intergrated Cashiering Platform (ICP)

Kovack Cashiering Department Streetscape- Intergrated Cashiering Platform (ICP) Allows users the ability to submit requests directly in Streetscape Cashiering rule still apply (3rd party requests require paperwork) View all cashiering transactions, standing instructions, periodic plans

Kovack Cashiering Department NetEx360- Asset Movement

Kovack Cashiering Department NetEx360- Asset Movement Allows users the ability to submit requests directly in NetEx Checks, ACH, Journals, Wires Cashiering Rules still apply (3rd party requests and IRA still require paperwork) Work status to view status of pending requests Cutoffs (Money markets, ACH)

Kovack Cashiering Department Standing Instructions Used to allow clients to grant Kovack/rep the ability to approve 3rd party requests without requiring an letter of instruction/distribution for each time NFS Non-Qualified/Qualified NFS AMA Pershing written letter/checkbox on IRA distribution form

Kovack Cashiering Department Mobile Check Deposit Will allow users the ability to make deposits through a mobile device NFS is currently in Beta testing for some Kovack users Pershing is live but not yet in Beta