States give RIAs more time to get help with multiple registrations

New deadline to sign up for coordinated review program is April 30

Mar 28, 2012 @ 3:50 pm

By Dan Jamieson

RIA firms that must switch from Securities and Exchange Commission to state oversight this year have another month to sign up for a coordinated review program offered by state regulators.

The North American Securities Administrators Association Inc. today said advisers have until April 30 to enroll.

The program is for registered investment adviser firms that must register with anywhere from four to 14 states. Under the program, a lead manager acts as a facilitator in coordinating state reviews of applications.

NASAA spokesman Bob Webster did not know the number of participants to date, but he said use of the program has been “ramping up” as the March 30 deadline approaches for notifying the SEC about eligibility for remaining a federally registered adviser.

“We thought we could push [the review-program deadline] out another month, and let [advisers] take advantage” of it, he said.

“We figured that advisers at the last minute will be figuring out that they need to switch,” added Melanie Lubin, Maryland's securities commissioner, who was involved in designing the program.

To participate in the coordinated-review program, advisers must submit a form found on NASAA's Switch Resource Center website , as well as required documents. There is no cost for using the service.

But the coordinated review program won't necessarily help advisers registering in California, where a backlog has caused delays in getting approvals, said Dave Campbell, a compliance consultant in Palo Alto who has not used the program for his RIA clients.

Compliance experts note that final authority to approve applications remains with each state, not the facilitator.

NASAA also today added to its resource center a listing of states and their various registration requirements for advisers. The new section is called “State Investment Adviser Registration Information.”

Finding registration information at individual state sites is sometimes difficult for first-time users, Mr. Webster said, thus the new portal should help.

0
Comments

What do you think?

View comments

Recommended for you

Featured video

INTV

Advisers should look beyond 529 plans for college planning

Editor Fred Gabriel talks to reporter Ryan Neal about how college-savings strategies are more important than ever as tuition costs soar.

Latest news & opinion

New ways to pay for college

Experts respond to real-life scenarios of people struggling to afford higher education.

How technology is reshaping the advice business

Artificial intelligence, Amazon and robo-advisers are some of the topics on the minds of tech experts.

Best- and worst-performing sector funds and ETFs this year

A rising tide may lift all ships, but a bull market doesn't lift all stock sectors. Here are the best- and worst-performing sectors this year, with the top and bottom fund in each sector.

Betterment slapped with $400,000 fine from Finra

Robo-adviser cited for violating customer protection rule and not maintaining its books and records correctly.

Supreme Court ruling on SEC judges unlikely to upend advice industry

But it could give rise to new hearings for some advisers who are already in litigation with the agency such as Dawn Bennett.

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print