Annual Renewals of Investment Adviser is Quickly Approaching

October 16, 2013

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As 2013 is quickly coming to an end, now is the time for each registered investment adviser to begin preparations for IARD renewals for the investment adviser firm and its investment adviser representatives. Registered investment advisers must make sure that they remain properly registered at all times.  If you are an SEC registered investment adviser, you must make sure that your investment adviser is notice filed in all required states.  If you are a state registered investment adviser, you must make sure your investment adviser is properly registered in all required states.  Generally, registration or notice filing is required at the firm level if an investment adviser has a place of business in the state or if it exceeds the state’s deminimus exemption.  However, investment advisers must review each state’s notice filing or registration requirements prior to conducting business in a particular state.  Investment adviser representative licensing is always handled at the state level.  Investment adviser firms must review and determine that all investment adviser representatives are properly licensed prior to conducting business in a state.

Although proper registration, notice filing, and licensing should be reviewed and monitored on an ongoing basis, during the annual renewal process all investment advisers are highly encouraged to review their existing registration or notice filing status and each investment adviser representative’s licensing status to determine if the investment adviser and its investment adviser representatives are properly registered, notice filed, or licensed (as applicable).  All registered investment advisers should also review the state requirements to see if branch office registration is required and, if it is, investment advisers should confirm that all branch office locations have been properly registered.  On  November 01, 2013, investment advisers may begin to submit Form U5s and Form BR Closing/Withdrawals via the IARD and/or Web CRD.  All post-dated forms must be dated 12/31/2013.

Here is a brief summary of some of the upcoming dates that your investment adviser should be aware of as it begins to prepare for the annual renewal process for your investment adviser firm and your investment adviser representatives:

  • 11/1/2013 – Firms may begin to submit post-dated Forms ADV-W. All forms must be post-dated 12/31/2013.
  • 11/09/2013 – IARD and Web CRD are unavailable as Preliminary Renewals Statements are generating.
  • 11/11/2013 – Preliminary Renewal Statements and reports are available for viewing and printing.

Click here for the full 2014 IARD Renewal Program Calendar.

Making necessary and early preparations for the annual renewal process can help streamline the event. Preliminary Renewal Statements must be paid, in full, by Friday, December 13, 2013. Because it takes approximately two days for payment to post to the IARD account, the funds should arrive no later than Wednesday, December 11, 2013, to ensure the money is posted to your IARD account by December 13. If your investment adviser firm fails to pay its renewal fees in full, your investment advisor firm’s registration or notice filing status and investment advisor representatives’ licenses may be terminated effective December 31, 2013. An investment adviser that fails to properly renew its registration may face fines or further disciplinary actions for not being properly registered.

If your investment advisor needs assistance with the renewal process or determining if it is properly registered, RIA Compliance Consultants can assist you. Depending on your needs, RIA Compliance Consultants offers a variety of services to assist with the annual renewal process and preparing and filing the Form ADV Part 1 annual amendment.  If you are an existing client of RIA Compliance Consultants interested in engaging us for assistance with these services, please contact your consultant to discuss the package options available. If you are a new client interested in these services, please click here to learn more about our renewal services, or click here to schedule a time to speak with one of our consultants.

Posted by Bryan Hill
Labels: IARD, Registration, Renewals