Payments of Transaction-Based Compensation by FINRA Members – An Update for Selling Groups and Individual Service Corporations and New Interpretive Guidance on the Horizon?

Back in December 2014, the Securities and Exchange Commission (“SEC”) approved a Financial Industry Regulatory Authority (“FINRA”) rule governing transaction-based payments to unregistered persons. The FINRA rule—Rule 2040—became effective on August 24, 2015. I understand that FINRA is currently considering providing members and the industry with written guidance so that their registered representatives can receiveContinue reading “Payments of Transaction-Based Compensation by FINRA Members – An Update for Selling Groups and Individual Service Corporations and New Interpretive Guidance on the Horizon?”

Form ADV Annual Amendment Updates: Best Practices and Recent Trends in Completing Form ADV

Here is a discussion on completing Form ADV and submitting annual updating amendments. We discuss: the timeline for submitting annual updating amendments, how to collect data, seeking input from operations and business units, taking positions on ambiguous questions, identifying conflicts of interest and adequately disclosing them, and recent trends in Form ADV Part 2A disclosure.

Financial Professionals Should Consider their Available Employment Options, Including Going Independent

Are you a financial adviser, investment adviser, wealth manager, registered representative or similar financial professional? There are many different names for those who render investment advice. Have you ever wondered how your clients’ situations might improve by changing your employer or business partner? Have you ever considered how your own personal financial well-being might improve if youContinue reading “Financial Professionals Should Consider their Available Employment Options, Including Going Independent”

California Assembly Bill 5 and the (Non-)Impact on the Financial Services Industry

California Assembly Bill 5 (the “Bill”) was passed in Senate on September 9, 2019 after passing the Assembly back in May. According to reporting by the New York Times, it is expected that California Governor, Gavin Newsom, will sign the bill. The Bill changes the status quo on the classification of employees and independent contractors.Continue reading “California Assembly Bill 5 and the (Non-)Impact on the Financial Services Industry”

Top 10 Considerations for Starting Your RIA

The following are the top ten considerations to make for starting an investment adviser: 1.     You will want to develop and complete your firm’s business plan. You will need to decide on your resignation date and begin to develop your vision and strategy. It may be helpful to consider your existing clients, your strengths, your desiredContinue reading “Top 10 Considerations for Starting Your RIA”

An Introduction to AdvisorCounsel

AdvisorCounsel is a blog discussing issues relevant to the investment adviser community. While the focus is on issues pertinent to investment advisers to separate accounts (more specifically, wealth managers), this blog will address issues that extend to institutional managers, private fund managers, advisers to registered investment companies, and roboadvisers. AdvisorCounsel is a compilation of theContinue reading “An Introduction to AdvisorCounsel”