Penson Financial Services, Inc.


Penson Financial Services, Inc. (PFSI), based in Dallas, Texas, is a securities services firm that provides flexible, technology-based processing solutions for the execution, clearing, custody and settlement of securities transactions. PFSI also offers a platform for registered investment advisors and provides prime brokerage services to hedge funds and other institutional investors. Penson is a member of NASD and SIPC.

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Brief History

Penson Financial Services, Inc. was founded in 1995 by Daniel P. Son, and Phil Pendergraft. Penson began to build a correspondent clearing infrastructure for outsourced clearing to broker/dealers. The firm started with a staff of nine and has grown rapidly, servicing the needs of correspondents based in the United States and around the world. PFSI is a subsidiary of Penson Worldwide, Inc. as are Penson Financial Services Canada, Inc., Penson Financial Services Ltd., Penson Financial Futures, Inc. and Nexa Technologies, Inc.

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Penson Technology

Most of Penson's business is conducted through the Internet. The Company's substantial and continuing investment in innovative and evolutionary systems technology allows it to process a high volume of transactions without sacrificing stability and reliability. Penson utilizes redundant disaster recovery facilities with full replication of data, and the technology infrastructure incorporates load-balanced servers and redundancies to ensure prompt data access capabilities. The Penson technology advantage makes it The Flexible Choice in Global Securities Services^TM.

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Penson Connection

Penson's correspondents and their clients can access online account information and activity through the Penson Connection website.  Each user's permissions for viewing various aspects of the site are determined by their User ID and Password. Firms may request individual customization of the types of information available to their registered representatives and their customers.

In addition, the site can be private-labeled with the correspondent's logo and color scheme. Correspondents with user authentication built into their own website can give customers access to account information on the website without having to retype a user ID and password.  The customer has no indication they ever left the correspondent's own website. Penson's reporting capabilities also provide customizable reporting based on client specifications.