In March 2008 the U.S. Securities and Exchange Commission (“SEC”) proposed material changes to the disclosure and format requirements of the Form ADV Part 2 for a registered investment adviser. The SEC received numerous comments regarding its proposal this spring and could take action in the near future. If the SEC adopts the proposed new Form ADV Part 2 in whole or part, it undoubtedly will take a significant amount of effort by a registered investment adviser over relatively short amount time to meet the proposed requirements. However, an investment adviser can start to prepare for this possible regulatory change by taking the time now to more fully understand the likely changes and impact of the proposed new Form ADV Part 2. RIA Compliance Consultants, Inc. encourages registered investment advisor firms to read the proposed rule, particularly the new Form ADV Part 2 instructions. You can view the proposed rule by clicking here. The proposed instructions begin on page 123.