Paulson Capital (Delaware) is a holding company. Co.'s operating subsidiary, Paulson Investment Company, Inc., is a brokerage firm. Co. provides broker-dealer services in securities on both an agency and a principal basis to its customers who are introduced to RBC Correspondent Services, a division of RBC Capital Markets Corporation, Co.'s clearing organization. Co. also acts as lead underwriter or participating selling group member for securities offerings. In addition, Co. holds securities for investment, with its investment portfolio principally consisting of securities purchased for investment and underwriter warrants.