Important Topics

According to a survey from Wealth Management, 78% of advisors listed advertising and marketing as the “hottest compliance topic” of 2022. Of course, as a registered investment advisor (RIA), you already understand the importance of staying up to date with SEC compliance. Although “compliance” is one of the least fun topics when it comes to business, the good news is that it’s relatively easy to develop a compliant marketing plan. As yoHOMEu build your brand and seek new clients, here are a few SEC marketing rule insights for advisors to keep in mind. What Is the SEC Marketing Rule? The SEC’s Advertising Rule 206(4)-1 dates back to 1961. But, with the advent of web-based technologies and digital marketing platforms, the advertising landscape has changed dramatically since then. As we all know, the need for a major update to the rule became increasingly evident, and SEC created the Marketing Rule in [...]

Per Rule 204-2 under the Investment Advisers Act, there are several books and records that a Registered Investment Adviser (RIA) is required to create and retain. In addition to these requirements, additional rules are placed on RIAs by The Securities and Exchange Commission (SEC). SEC requires that books and records be maintained and preserved in an easily accessible place for no less than five years from the end of the fiscal year during which the last entry was made on the record. Additionally, these books and records must be retained in an appropriate office of the RIA for the first two years. With that said, it is critically important that firms implement safeguards to preserve records from destruction, tampering, and unauthorized intrusion. In our last blog, we covered Cybersecurity Requirements and practical steps that you can take to safeguard your records. In this week’s blog, we will discuss bookkeeping requirements along [...]

It’s no secret that cybercrime is a top risk in the financial industry. According to the Securities and Exchange Commission, 74% of firms have experienced cyberattacks. Fortunately, there are cybersecurity options that financial advisors can implement to protect their private client information. Here’s what you need to know. Email Solutions Email Encryption at Transport Transport Layer Security (TLS) is essential for financial advisors. This security measure works by encrypting data sent over the Internet to ensure that hackers are unable to see what you transmit. This security measure is already a feature of Microsoft Exchange 365, but you can also manually install other software programs to up the ante. Azure Rights Management is one of the popular ways to do so. This free plug-in is proprietary to Microsoft Exchange, so the programs are compatible. For Azure Rights Management to work, simply write the word “Encrypt” into the subject line of your [...]