Philosophy

We at Lombard Securities know the time consuming and challenging nature of the tasks facing individual investors. Accordingly, we are committed to helping you set your goals and providing you with the service that you need to achieve them. Each of our trained and experienced representatives stand ready to meet your individual needs and investment objectives.

This commitment begins with our computer system. Our system employs one of the few "real-time" programs on Wall Street--meaning that it is constantly updated with information about your account. Many other brokerage systems provide yesterday's information. Among other things, Lombard offers its clients the ability to pay their bills from their brokerage accounts as well as receiving and remitting deposits and disbursements electronically. We also offer check writing privileges to our clients at no charge. (For particulars about these services, please see our page concerning "Valet Accounts").

Lombard Securities is home to many highly experienced and mature investment professionals. Our philosophy has always been to seek out seasoned brokers who have experienced a variety of market conditions and know how to operate within a diverse range of investment environments. A Spring 2009 census of Lombard brokers revealed an average of more than 23 years experience in the securities industry. We think our clients benefit from dealing with seasoned professionals.

Lombard Securities is judicious when it comes to investment product selection. While we sell stocks, bonds, options, mutual funds, insurance, annuities and other associated products, we also make it a point to steer clear of so-called exotic investments. Lombard is not a managing underwriter, makes no markets, does not indulge in marketing tax shelters, esoteric derivatives, sub-prime or "alt-A" mortgages, auction rate securities, or other abstract products. Our belief is that the normal market risk that has always been associated with our business is enough for our clients to deal with. Arcane financial instruments that are little understood are often crafted with the seller's interest, and not those of the ultimate buyer, in mind, and, as such, may create conflicts of interest.

Lombard Securities is judicious with its own money as well. We have never borrowed a penny in the conduct of our business and invest for our own account mostly in U. S. Treasury securities. We are not subscribers to "patterned" or "one size fits all" investing. Our clients are very diverse in both composition and investment objective. Each is treated as the individual they are. Among our clients are young professionals as well as the retired, and institutions as well as individuals. We believe that Lombard's investment principles together with our highly experienced brokers offer investors an opportunity that is distinctive.

Both Lombard Securities and its New York Stock Exchange correspondent are members of the Securities Investor Protection Corporation (SIPC) through which customer accounts are protected in the event of a firm's insolvency up to $500,000, including a maximum of $100,000 for free cash balances. SIPC is not the same as or a substitute for FDIC deposit insurance, and it does not protect against declines in the market value of your securities. For additional information, including a brochure about SIPC coverage, please call 202.371.8300 or visit www.sipc.org. Lombard's correspondent has purchased an additional insurance policy through a group of London Underwriters (with Lloyd's of London Syndicates as the Lead Underwriter) to supplement SIPC protection. This additional protection becomes available to customers in the event that SIPC limits are exhausted and provides protection for securities and cash up to an aggregate of $600 million. This is provided to pay amounts in addition to those returned in a SIPC liquidation. This additional protection is limited to a combined return to any customer from a Trustee, SIPC and London Underwriters of $150 million, including cash of up to $2 million.

Unlike many other firms, Lombard Securities does not develop or market its own financial products. Our investment recommendations are made to you because we believe in them and not because of a need to market proprietary wares. Whether you're looking for investment advice on money management, or on specific mutual funds, stocks, or bonds, your Lombard Securities representative stands ready to provide you with a responsible, reasoned recommendation.

Wall Street often forgets that client objectives come first. After all, our success depends upon our clients' success. The client relationships that our representatives have maintained over the years serve as a constant reminder of this at Lombard Securities.