What You Need to Know
- The compliance date for the SEC's Marketing Rule is Nov. 4.
- One question advisors have about compliance: Is a model portfolio fact sheet that advisors show to clients an advertisement?
- The checklist is designed to help advisors navigate the complexities of the new regulation.
The law firm Eversheds Sutherland released Friday a checklist for advisors to use as they prep for the Nov. 4 compliance date for the Securities and Exchange Commission’s Marketing Rule.
“Legal and compliance personnel at advisory firms who are tasked with making sure their firms are in compliance with the new rules have a big job ahead of them over the next few months,” Cliff Kirsch, partner and Head of the Investment Services practice group at Eversheds, said in releasing the checklist.
The checklist is designed to help advisors navigate the complexities of the new regulation for advertisements and other forms of marketing.
Since the rule went into effect in last May, compliance experts have been cautioning advisors to tread carefully when using testimonials and endorsements before Nov. 4.