Non-Disclosed Account

A brokerage account where the identity of the beneficial owner is known only to the introducing broker and not to the clearing broker or the public market.

A non-disclosed account is a sophisticated brokerage account structure designed to maintain the highest level of client privacy and operational separation. In this arrangement, an "Introducing Broker" (IB) manages the front-end relationship with the ultimate client, while a "Clearing Broker" (or carrying broker) provides the critical back-office infrastructure, including trade execution, clearing, settlement, and the physical custody of assets. The hallmark of this relationship is that the client's identity remains shielded from the clearing firm, creating a layer of anonymity that is often sought after in institutional finance. In a non-disclosed arrangement, the Clearing Broker possesses no knowledge of the client's name, address, tax identification number, or other personal details. Instead, the Clearing Broker interacts solely with the Introducing Broker as the primary counterparty. The Introducing Broker assigns a unique, non-descriptive account number or identifier to the client—such as "Sub-Account 5521"—and all trade activity is processed under this identifier within the Introducing Broker's master omnibus account. This ensures that even though the clearing firm is processing the billions of dollars in trades, it cannot see who is actually pulling the strings. This structure stands in stark contrast to the "Fully Disclosed" model, which is the standard for most retail investors. In a fully disclosed account, the Clearing Broker receives a complete data profile of the client, performs its own oversight, and sends regulatory statements and trade confirmations directly to the client's home or email. In the non-disclosed model, the Introducing Broker owns the entire customer experience, providing its own statements and serving as the exclusive point of contact for the end-user.