Securities professionals
The broker-dealer’s role in the EB-5 process.
A registered securities professional may add a distinct layer of licensing, offering review, diligence, suitability analysis, and supervision—without replacing immigration counsel.
Different professional functions
Immigration advice and securities activity are not the same.
EB-5 regional center investments are commonly offered through private securities offerings. The immigration lawyer evaluates eligibility, lawful source and path of funds, project immigration documentation, and the immigration consequences of the transaction.
A registered broker-dealer may participate in offering, recommendation, investor screening, diligence, suitability, compensation, communications, and supervisory obligations under securities laws and FINRA rules, depending on the engagement.
Potential contributions
Where a broker-dealer may help.
REGISTRATION
Licensed securities activity
BrokerCheck can be used to confirm a firm and representative’s registration, history, licenses, and disclosed events.
DILIGENCE
Review of the offering
A participating broker-dealer may investigate the issuer, management, offering terms, conflicts, use of proceeds, finances, risks, and other material representations.
SUITABILITY
Investor-specific analysis
Depending on the relationship and applicable standard, the professional may evaluate whether an investment or recommendation is appropriate for the investor’s profile and objectives.
DISCLOSURE
Fees and conflicts
Ask how the firm and representatives are paid, by whom, whether compensation changes by project, and what relationships exist with issuers or promoters.
SUPERVISION
Communications and records
Registered activity generally carries supervisory, books-and-records, communication, and compliance responsibilities that differ from informal referral activity.
BOUNDARIES
No immigration guarantee
A broker-dealer cannot guarantee immigration approval, job creation, project success, repayment, or investment returns.
Questions to ask
Understand the engagement before relying on it.
- Is the firm registered with the SEC and a FINRA member?
- Is the individual registered, and what licenses are held?
- What diligence did the firm perform on this offering?
- Is the firm recommending the investment or only facilitating it?
- How is the firm compensated, and by whom?
- Does the firm receive different compensation from different projects?
- What investor-specific suitability or best-interest review will occur?
- What written disclosures and diligence materials are available?
Official resources
- FINRA BrokerCheck
- FINRA: Private Placements
- Investor.gov: Private Placements
- SEC/USCIS EB-5 Investor Alert
This page is educational. HarrisLaw does not act as a broker-dealer or investment adviser and does not recommend or endorse a particular investment.
Coordinate immigration and securities questions.
HarrisLaw can address how an offering and its documents relate to the investor’s EB-5 immigration case.