The form used to apply for registration as an investment advisor with either the SEC or individual states.
- Part I - Asks for information used in the review process.
- Part II - Requires information on background and business practices of advisor.
- Amendments - Investment advisors are required to update Form ADV at least annually. Amendments also required to update when there are material changes to an investment advisor's business.
- Balance sheets - Advisors with custody or possession of client funds or securities or those requiring prepayment of fees six months or more in advance and in excess of $500 of a client must file a balance sheet. The balance sheet must be audited by an independent public accountant.
- Form ADV-W - Used to withdraw registration as investment adviser.
Investment advisors are required to deliver a written disclosure statement on their background and business practices to clients upon entering into an advisory contract. The brochure rule may be fulfilled by delivering to the client either a copy of the advisor's Form ADV Part II or another document containing the same information.
- Annual delivery - In addition to supplying the brochure upon entering into a contract, advisors must deliver (or at least offer in writing to deliver) to clients a copy of the advisor's current brochure.
Advertising and Solicitation
Financial AdvisorThe SEC will now require advisors to keep records of any documentation that is distributed to clients that contains performance numbers of any kind.
Financial AdvisorClients fire financial advisors for many reasons. Here's a rundown on why they're likely to do so and how to avoid losing any from your roster.
Financial AdvisorThese are the top challenges that financial advisors face today.
TechHow advisors choose investment portfolios is varied, and investors are wise to check with theirs to find out how he or she makes their investment choices.
TechFinancial advisors spend a lot of time giving their clients advice on how to invest their money. But what they often forget to do is listen.
TechFinancial advisor worries include the changing technology landscape, the emergence of robo-advisors, government regulation and financial crisis fallouts.
Personal FinanceHere are five important considerations for when you are choosing a financial advisor for your investment portfolios and your financial future.
Financial AdvisorThere are four qualifications that all financial advisors should have, including educational requirements, licensing, certifications and designations and skills.
Financial AdvisorAdvisors looking to avoid an SEC audit should pay heed to this list of what may catch the regulator's attention.
Small BusinessFiguring out how often an investment advisor should contact clients is not easy.