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ASC 940 — Financial Services — Brokers and Dealers

Below is an overview of FASB Accounting Standards Codification Topic 940,  Financial Services — Brokers and Dealers, as well as a list of FASB Accounting Standards Updates (ASUs) and proposed ASUs related to this Topic. The full text of ASC 940 can be found in the FASB Accounting Standards Codification (link to the FASB's Web site; registration required). Also, the full text of the Codification and Deloitte-authored Q&As related to the Codification are available in the Deloitte Accounting Research Tool (DART) Web site (subscription required).


ASC 940-10 and ASC 940-20 discuss certain activities of brokers and dealers in securities (broker-dealers). The subsections of ASC 940-20 provide guidance on matters such as commissions, soft-dollar arrangements, mutual fund distribution fees, agency transactions, and broker-dealer financial presentation, as well as guidance for a broker-dealer's clearing operations and underwriting activities.

ASC 940 also contains intersecting Subtopics that contain industry-specific guidance related to the following Codification Topics:

Content from the FASB Accounting Standards Codification® included at is copyrighted by the Financial Accounting Foundation, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116, and is reproduced with permission.

FASB Accounting Standards Updates

    The following ASUs amended the guidance in this Topic:

    Proposed FASB Accounting Standards Updates

      No current proposed ASUs on Topic 940

      Correction list for hyphenation

      These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.