when to use an attorney vs a ria compliance firm?

Unfortunately, by that point, the RIA firm is in much more need of a securities lawyer rather than a compliance consultant. When a firm already has a serious issue with a regulator, more affordable preventative regulatory care is no longer a option.

Full Answer

What is RIA compliance?

Compliance Policies and Procedures: RIAs must establish, maintain, and enforce written compliance policies and procedures reasonably designed to prevent violations by the RIA of the Uniform Securities Act of 1956 and the rules that the securities administrator has adopted under the Act.

How does compliance technology help RIAs?

The right compliance technology solution can reduce the amount of time spent planning, completing, and documenting regulatory activities by streamlining and simplifying the processes. Pairing compliance technology with a compliance consultant can empower RIAs and their CCOs to navigate the increasingly complex regulatory requirements more efficiently.

How many categories of fiduciary duties are there?

In 2018, the SEC released a document that outlined their views on the fiduciary duties of an RIA, breaking them out into five categories.

What is a supervisory policy?

Supervisory Policies and Procedures: RIAs must establish, maintain, and enforce written supervisory policies and procedures reasonably designed to prevent violations by the RIA's supervised persons of the Uniform Securities Act of 1956 and the rules that the securities administrator has adopted under the Act.

How to register a RIA?

1. Draft the Form Filings & Documents You Need in Order to Register Your RIA. In order to register your registered investment adviser ("RIA") firm with the proper authorities, you’ll want to make sure you have your forms and filings in order.

Why is liability insurance important?

We highly recommend liability insurance to safeguard your firm. Failing to get such a policy leaves your firm vulnerable to a very serious business risk.

When seeking best execution, should an RIA consider “the full range and quality of a broker’s services in?

When seeking best execution, an RIA should consider “the full range and quality of a broker’s services in placing brokerage including, among other things, the value of research provided as well as execution capability, commission rate, financial responsibility, and responsiveness” to the investment adviser.

AdvisorLaw offers ongoing legal and compliance consulting support to Registered Investment Advisers (RIA) and RIA firms

Is your current online "RIA template service" leaving you feeling exposed to a potential audit? Are you confident that your ADV/CRS forms are compliant and will stand up to an SEC review? Back when you started your RIA, you may have taken the quick route by garnering all of your initial paperwork, policies, and procedures through one of the many online document creation companies using the same boiler-plate template for every conceivable situation. Next thing you know, your firm is 10 years down the line and you have not had the time to review or revisit those old forms to ensure they are compliant with current SEC regulations.

What ongoing RIA compliance services can AdvisorLaw tailor to your firm?

We provide a custom portal and calendar to make task management and reporting easy. Through advanced technology integration, we offer efficient automation and full control. AdvisorLaw can help your RIA stay compliant with all current SEC and state regulations. We have clients in all 50 states, including Washington, D.C. and Puerto Rico.

SEC Compliance

Your primary focus in business is serving your clients while creating the lifestyle of your dreams. Thus, you spend most of your time and energy on revenue-making activities. With so much time devoted to serving your clients, you might forget about SEC compliance.

SEC Compliance Services

My RIA Lawyer has three options for RIAs that need help with SEC compliance. These options are:

Compliance University

We recommend the RIA Compliance University for all firms, whether you are both owner and CCO or have an in-house team that needs training and ongoing support. The Compliance University contains pre-recorded webinars that go over the compliance regulations and requirements for RIAs.

Compliance Consulting For Firms

If you need additional help with compliance, we recommend our compliance consulting services. You will receive one-on-one compliance consulting that covers compliance and how it affects the rest of your business.

Outsourced Compliance Department

We recommend our Diamond Package using our Outsourced Compliance Department. We will provide a Chief Compliance Officer to ensure that your firm follows all rules and guidelines. The CCO will assess the firm’s practices and find solutions to help you save time and money while following legal requirements.

Protect Communications With Attorney-client Privilege

When you use an SEC compliance lawyer, you will benefit from attorney-client privilege. Everything you say to your attorney is protected under the rule of law. You will not get the same protection if you use a non-attorney service provider. Instead, the provider can divulge your conversations, which could get you in trouble.

Why Choose My Ria Lawyer?

Experts in the RIA Space – My RIA Lawyer is the only law firm solely focused on the RIA space.

Situations And Reasons Why Advisors Like You Hire Us

Advisors come to us when one or more of these situations apply. How many pertain to you?

Why Choose My RIA Lawyer For RIA Regulatory Compliance?

Experts in the RIA Space - My RIA Lawyer is the only law firm solely focused on the RIA space.

What To Do Now

We welcome your questions and want to understand your situation to help you move forward and achieve the peace of mind that comes with having everything done properly and efficiently. You work hard to grow your business and create the life of your dreams. Now you need to protect it.

How long does an ERA have to register as an RIA?

If the ERA manages $150 million or more in private fund assets, then the firm has ninety (90) days to apply for full registration as an RIA. However, this grace period is not available if the ERA no longer satisfies the other conditions of the relevant exemption. Thus, if the ERA plans to manage clients other than private funds, or intends to make non-qualifying investments, the adviser needs to apply for RIA registration immediately, unless the adviser meets another exemption.

What is the pay to play rule?

The rule covers existing and past investors in the private funds or venture capital funds managed by the ERA and prohibits ERAs from receiving compensation for investment advisory services provided to a government entity or official after the advisor has made certain political contributions to said government entity or official. For example, the ERA and certain of its associates are generally subject to a two-year “cooling off” period after contributing to an official or government entity before the advisor can receive compensation for providing advice to the government entity. Also, ERAs are not allowed to use solicitors who are subject to pay-to-play restrictions, solicit or coordinate campaign contributions from others for officials of a government entity to which the advisor provides or seeks to provide services.

What is the ERA requirement?

What are the requirements for an ERA? Advisors to one or more qualifying private funds can claim an ERA exemption if the aggregate value of the assets of their private funds is less than $150 million or if they are exempt under the venture capital fund rule.

Do ERAs have to comply with the 206 Rule?

For example, ERAs are not required to comply with Rule 206 (4)-7 under the Advisers Act (the Compliance Rule) that requires RIAs to designate a Chief Compliance Officer (CCO). However, ERAs may consider naming a CCO to respond to questions from the SEC about the firm’s registration or help with compliance efforts for the rules that apply to them.

Does JD Supra share your information?

Onward Transfer to Third Parties: As noted in the "How We Share Your Data" Section above, JD Supra may share your information with third parties. When JD Supra discloses your personal information to third parties, we have ensured that such third parties have either certified under the EU-U.S. or Swiss Privacy Shield Framework and will process all personal data received from EU member states/Switzerland in reliance on the applicable Privacy Shield Framework or that they have been subjected to strict contractual provisions in their contract with us to guarantee an adequate level of data protection for your data.

What is compliance first?

As a compliance-first company, our mission it to help our clients take the guess-work out of their regulatory responsibilities so that they can do what they do best; take care of the clients.

Why Advisor Guidance?

In an industry that is experiencing significant disruption as a result of ongoing consolidation our independent ownership model affords greater operational stability and encourages an entrepreneurial approach to developing solutions for our clients.