Slideshow Compliance Best Practices for Financial Advisors

Published
  • March 31 2014, 2:09pm EDT
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Compliance Best Practices for Financial Advisors

Using recent research from the North American Securities Administrators Association, Harold Reimer -- head of private wealth management for Tenemos in North America -- put together a list of advisory compliance best practices.



Click through to see the list, or read the related article:

Tech Tools to Avoid Compliance Missteps


<b>1. Keep Good Records</b>

Prepare and maintain all required records, including financial records. Back up electronic data and protect records. Document any checks that get forwarded.

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<b>2. Review & Update Paperwork</b>

Review and revise Form ADV and disclosure brochure annually to reflect current and accurate information. Deliver disclosure brochure initially and annually as required. Review and update all contracts. Review all advertisements, including website and performance advertising, for accuracy.

<b>3. Document Policies & Procedures</b>

Prepare and distribute a privacy policy initially and annually. Prepare a written compliance and supervisory procedures manual relevant to the type of business to include business continuity plan. Assess and update periodically. Review solicitor agreements, disclosure, and delivery procedures.

<b>4. Know Your Clients</b>

Prepare and maintain current client profiles. Make sure client's investment policy and suitability information are current. Implement appropriate custody safeguards, as applicable. Pay close attention to direct fee deduction invoices.

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<b>5. Watch the Money</b>

Calculate and document fees correctly in accordance with contracts and ADV. Keep accurate financials. File timely with the jurisdiction. Maintain surety bond if required. Disclose soft dollars or benefits received.



Read the related article:

Tech Tools to Avoid Compliance Missteps