Think Alpha Securities LLC – Customer Relationship Summary

9/20/2023

Introduction
Think Alpha Securities, LLC* (“Think Alpha”, “TAS”, “the Firm”) is registered with FINRA and the SEC as a broker-dealer and is a member of the Securities Investor Protection Corporation (SIPC). Free and simple tools are available to research firms and financial professionals at: www.Investor.gov/CRS, which also provides educational materials about broker-dealers, investment advisers, and investing. To learn more about Think Alpha, you may go to FINRA’s BrokerCheck at: https://brokercheck.finra.org/.

Relationships and Services

What investment services and advice can you provide me?

Think Alpha offers brokerage and private placement services to retail and institutional customers.

Brokerage Services:
Our customers are self-directed traders and/or investors that use our services to effect buy and sell transactions in U.S. equity securities (including exchange-listed stocks, adrs, and exchange-traded products, as well as some stocks that trade in over-the-counter markets). The Firm’s brokerage services are conducted entirely online.
You will make the ultimate decision regarding the purchase or sale of securities in your brokerage account. It is important to understand that the Firm and its registered representatives do not offer trading or investment recommendations and we do not monitor your investment or account after a transaction is entered.
The securities accounts we offer may be subject to minimum deposits. Any minimum deposit requirements are outlined in each account’s respective agreement.
Think Alpha is an introducing broker-dealer. Your funds and securities will be custodied by our third-party clearing firm, Wedbush Securities Inc. (“Wedbush). Wedbush will service your account, clearing and settling your trades as well as preparing and delivering trade confirms, statements, and other related documents. In addition, Wedbush will extend credit on margin and portfolio margin accounts.

Private Placement Services:
Our customers are self-directed investors that use our services to invest in unregistered investment funds (private placements). The Firm’s private placement services are conducted entirely online.
You are responsible for conducting your own due diligence and will make the ultimate decision regarding the investment in private placements. While the Firm may make certain materials available to you to assist in your due diligence, the provision of such materials in way represents a recommendation. It is important to understand that the Firm and its registered representatives do not offer investment recommendations and we do not monitor your investments after a transaction is entered.
The private placement services we offer may be limited to “accredited investors” (as defined in Rule 501 of Regulation D and/or “qualified purchasers” (as defined in Section 2(a)(51) of the U.S. Investment Company Act of 1940. Furthermore, the investment fund managers in any private placement transaction offered by the Firm have the discretion on any decision to sell to any investor.

Think Alpha is acting as a placement agent in private placement transactions. In private placement transactions, you are investing directly with the fund, Think Alpha is not the counterparty. Think Alpha is performing regulatory functions to effect a transaction once you and the fund manager have made the mutual decision to complete an investment and satisfied the regulatory requirements of such investment.

Think Alpha does not impose a minimum investment amount upon customers with respect to any placement in which Think Alpha is involved. Think Alpha offers investments in a limited number of investment opportunities. There may be other investments that we do not offer which better suit your needs.

Questions to consider:

  • Given my financial situation, should I engage in private placements? Why or why not?
  • How will you choose investments to recommend to me?
  • What is your relevant experience, including your licenses, education and other qualifications? What do these qualifications mean?

Fees, Costs, Conflicts and Standard of Conduct

What fees will I pay?

Brokerage Services:
It is important for you, the retail investor, to understand the principal fees and costs you will incur for your brokerage services, including how frequently they are assessed and the conflict of interest they create.

  • Brokerage services: If you elect to open a brokerage account, we charge transaction-based fees to buy and sell securities in that brokerage account. This means you are charged more when there are more trades in your account. Therefore, we may have an incentive to encourage you to trade more often.
  • Interest charges: If you elect to open a margin account (either a traditional Reg T margin account or a portfolio margin account), you will be charged interest on any monies you borrow to purchase securities on margin.
  • Stock locate / stock pre-borrow / stock borrow fees: We charge customers additional fees and/or interest for locating, pre-borrowing, and borrowing stocks when customers short sell or attempt to short sell a security.
  • Other Fees/Costs: Think Alpha charges other fees, such as market data fees, clearing charges, regulatory fees, exchange fees, account maintenance fees and other miscellaneous fees, all of which are detailed in the Firm’s Fee Schedule, which is provided to all customers at account opening.

You will pay fees and costs whether you make or lose money on your investments. Fees and costs will reduce any amount of money you make on your investments over time. Please make sure you understand what fees and costs you are paying.

Private Placement Services:
It is important for you, the retail investor, to understand the principal fees and costs you will incur for your private placements, including how frequently they are assessed and the conflict of interest they create.

  • Private Placement Fees/Costs: Think Alpha does not charge retail investors fees for private placements.

You may incur fees and costs charged by any fund in which you choose to invest. You should include a full understanding of any fees or costs funds may charge as part of your due diligence when considering an investment decision. Fees and costs will reduce any amount of money you make on your investments over time. Please make sure you understand what fees and costs you are paying.

Questions to consider:

  • Help me understand how these fees and costs might affect my investments. If I give you $10,000 to invest, how much will go to fees and costs, and how much will be invested for me?

What are your legal obligations to me when providing recommendations as my broker-dealer? How else does your firm make money and what conflicts of interest do you have?

Brokerage Services:
We do not provide investment or trading recommendations. In the event that we do provide a recommendation in regards to the account type you select, we have to act in your best interest and not put our interest ahead of yours. At the same time, the way we make money creates some conflicts with your interests. You should understand and ask us about these conflicts because they can affect any recommendations we may provide you. Here are some examples to help you understand what this means.

  • We may at times receive payment for our order flow. In return for routing an order to a specific market facility, we may receive a cash payment or a rebate in the form of reduced fees. This may create an incentive for us to route orders to facilities making such payments.
  • We have an incentive to offer or recommend utilizing margin because our clearing firm shares with us revenue it earns on assets on margin.
  • We have an incentive to offer or recommend utilizing short selling because we share in the revenuesearned on locate / pre-borrow / borrow fees.

Private Placement Services:
We do not provide investment recommendations. In the event that you do effect a private placement through Think Alpha, we have to act in your best interest and not put our interest ahead of yours. At the same time, the way we make money creates some conflicts with your interests. You should understand and ask us about these conflicts. Here are some examples to help you understand what this means.

  • We may receive a commission from the fund, typically as a percent of the amount of money you invest in the fund through Think Alpha. This may create an incentive for us to effect more transactions and larger transactions.

Questions to consider:

  • How might your conflicts of interest affect me, and how will you address them?

How do your financial professionals make money?

Our registered representatives (RRs) receive a fixed salary along with a bonus which is based upon the Firm’s performance during the year.

Disciplinary History

Do you or your financial professionals have legal or disciplinary history?

Yes. For a free and simple search tool to research our firm and our registered representatives’ disciplinary actions and history, please go to: www.Investor.gov/CRS

Questions to consider:

  • As a financial professional, do you have any disciplinary history?
  • If so, for what type of conduct?

Additional Information

If you would like up-to-date information about our firm or to request a copy of the relationship summary, please call 856-389-3330 or go to: www.tradingalpha.com**

Questions to consider:

  • Who is my primary contact person?
  • Is he/she a representative of an investment advisor or a broker dealer?
  • Who can I talk to if I have concerns about how this person is treating me?
* Think Alpha Securities LLC, DBA (doing business as) Tradingalpha.
** Tradingalpha.com is a website owned and operated by Think Alpha Securities LLC (doing business as “Tradingalpha”). Brokerage services are provided through Think Alpha Securities LLC, Member FINRA and SIPC. 116 Commons Way, Princeton, NJ 08540. Not insured by the Federal Deposit Insurance Corporation (FDIC).
Tradingalpha.com is a website owned and operated by Think Alpha Securities LLC (doing business as “Tradingalpha”). Brokerage services are provided through Think Alpha Securities LLC, Member FINRA and SIPC. 116 Commons Way, Princeton, NJ 08540. Not insured by the Federal Deposit Insurance Corporation (FDIC). This material is sales and trading commentary and does not constitute investment research. This material is provided to you by Think Alpha Securities LLC (“TAS”) solely for informational purposes, is intended for your use only and does not constitute an offer or commitment, a solicitation of an offer or comment (except as noted for CFTC purposes), or any advice or recommendation, to enter into or conclude any transaction (whether on the indicative terms shown or otherwise), or to provide investment services in any state or country where such an offer or solicitation or provision would be illegal. TAS is not acting in any fiduciary capacity and it will not treat recipients as its customers by virtue of their receiving this material. The provision of the services referred to in this material is subject to relevant local regulation and practice, and not all the services described may be available in your particular jurisdiction. Brokerage services are provided through Think Alpha Securities LLC, Member FINRA and SIPC.  116 Commons Way, Princeton, NJ 08540. Not insured by the Federal Deposit Insurance Corporation (FDIC).
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