Investment adviser advertising continues to be one of the top problem areas identified by the SEC. Advertising and performance often present complex issues for all advisers, as well as many traps for the unwary, frequent exam deficiencies and, in the worst cases, potential for SEC enforcement actions. The SEC has devoted considerable attention to how and under what circumstances investment advisers may advertise their services and present performance to clients. This session is designed to help advisers avoid the common pitfalls and understand the fundamental advertising rule requirements and the many SEC no-action letters covering testimonials, partial client lists, websites, presenting gross and net performance and the numerous required and recommended disclosures for advertising and performance materials. A brief overview of GIPS® is also included.
After attending this course, attendees should be able to:
- Use the specific SEC advertising rule as well as performance presentation requirements to accurately disclosure the firm’s operations and performance
- Maintain required performance and advertising records
- Identify important and diverse SEC no-action letters covering advertising and performance to gain guidance beyond the rule requirements
- Use practical tips and checklists to effectively review advertising and performance materials for compliance and to develop policies and procedures
For Whom: Designed to increase the professional competence of investment adviser professionals with legal, compliance and management responsibilities.
Suggested Skill Level: Intermediate
Instructional Method: Group Internet-Based and Group Live
Pre-requisites for participation: No prerequisites are required. However, attendees can benefit by reviewing the Investment Advisers Act of 1940, especially Section 206 & Rules 206(4) – 1 (Advertisements) & 204-2 (Books & Records) to become familiar with the structure and terms.
Advance Preparation: None
Continuing Education Credits:
NRS Continuing Education Guide
Recommended CPE Credit: 2 in the Regulatory Ethics field of study
Recommended IACCP® CE Credit: 2
Recommended CA MCLE Credit: 2
Recommended CFP Credit: Credit: 2