As your investment adviser firm is getting ready to deliver the new Form ADV Part 2 to its investment advisory clients, you may be considering electronic delivery as an option. The U.S. Securities and Exchange Commission (“SEC”) will permit an investment adviser to deliver the Form ADV Part 2 electronically; however, certain conditions must be [...]
The United States Securities and Exchange Commission (“SEC”) has proposed to adopt Rule 202(a)(11)(G)-1 under the Investment Advisers Act of 1940 which would exempt a “family office” from registration under the Investment Advisers Act. Under the proposed SEC rule, a “family office” is considered a company (including its directors, partners, trustees, and employees acting within [...]
Posted by Bryan Hill
Thursday, October 14, 2010
On June 10, 2010, the State of Washington passed new legislation designed to prevent the financial exploitation of vulnerable adults. The new legislation provides financial institutions the power to refuse to conduct a transaction if the institution suspects abuse and also requires employees of investment advisers and broker dealers to undergo abuse identification training. Section [...]
Did you know that most state securities regulators require paid solicitors of investment advisor firms to license as investment advisor representatives? This means that the solicitor must either establish his/her own investment advisor firm or license under an existing investment advisor firm. From the solicitor’s perspective it is far easier to simply license under an [...]
Kenneth Starr, an investment adviser representative, to several celebrities and other wealthy clients, was arrested on May 27th for allegedly using client funds for his own personal use. Starr has been charged in a New York District Court with fraud by an investment advisor, a wire fraud scheme to obtain property, money laundering, false statements in an [...]
SEC Rule 206(4)-7 under the Investment Advisers Act of 1940 (Investment Advisers Act) requires an investment adviser registered with U.S. Securities and Exchange Commission (“SEC”) to appoint an individual to serve as the Chief Compliance Officer (CCO). The CCO must be an individual who is competent and knowledgeable regarding the Investment Advisers Act, should be [...]
According to a study conducted by the North American Securities Administrators Association (NASAA) analyzing state-registered investment adviser regulatory examinations, the top deficiencies cited during those examinations were (1) inconsistencies between Form ADV Part 1 and Form ADV Part II; (2) failing to amend Form ADV in a timely manner; and (3) failing to provide or [...]
