Performance Reports

by **dlb** » Fri Sep 10, 2010 12:40 pm

All,

I am a new state registered investment advisor in Ca. No where in the state regulatory code can I find if quarterly performance reports are required to be delivered to a client. If this is a requirement, could someone give me a reference. Also, is there a cost effective performance reporting service out there for an advisor that only has a only a small number of clients. Any help would be appreciated!

DB

by **Tad Borek** » Fri Sep 10, 2010 4:30 pm

There's no requirement to provide performance reports, but if you choose to provide them, they have to meet certain guidelines...some vague and general, some more specific. A potential issue is that the DOC may consider them to be "advertising," though arguably they do not meet the definition. If you choose to do them, spend time understanding all the current and proposed requirements about both reporting, and advertising, performance (example - proposed regs [PRO 27/03] -- google that part in brackets). This isn't something I'd give off the cuff tips about as it has grey areas -- and can cause regulatory problems if done wrong.

-Tad

by **dlb** » Mon Sep 13, 2010 11:01 pm

Thanks Tad.

I appreciate you taking the time to respond. I will take a look at the proposed regs.

DB