More On Legal & Compliancefrom The Advisor's Professional Library
- The New and Improved Form ADV Whether an RIA is describing its investment strategy in advertisements or in the new Form ADV Part 2, it is important the firm articulates material risks faced by advisory clients and avoids language that might be construed as a guarantee.
- Conducting Due Diligence of Sub-Advisors and Third-Party Advisors Engaging in due-diligence of sub-advisors isnt just a recommended best practice it is part of the fiduciary obligation to a client. An RIA should be extremely reluctant to enter a relationship with a sub-advisor who claims the firms strategy is proprietary.
Financial services reform remains at the top of the agenda. Read Melanie Waddell's news story , and bloggers Mike Patton and Bob Clark's reactions. To view video of Treasury Secretary Geithner's Senate testimony on Obama's proposal to "modernize the financial regulatory system," click here .The Obama White Paper itself is here.
Healthcare reform hit center stage last week with the Senate Health, Education, Labor, and Pensions committee holding hearings on the Affordable Health Choices Act. On June 22, the Senate Banking, Housing, and Urban Affairs Subcommittee on Securities, Insurance and Investment will welcome Mary Schapiro and Gary Gensler of the CFTC to examine oversight of OTC derivatives.