UPDATE: New Disclosures to Clients Required by SEC

 Under a new Securities and Exchange Commission (SEC) rule for Form ADV: Part 2b, all registered investment advisors must file new disclosures with the SEC.

Commencing on July 31, 2011, all registered persons providing investment advice to clients must file with the SEC a new resume-like disclosure form that includes a detailed description of all (1) educational activities after high school; (2) business activities during the last five years; and (3) all legal and disciplinary events within the last 10 years that are considred reportable to FINRA.  This form must be provided to new clients in a Form ADV Brochure Supplement.  The purpose of the new rule is to provide clients with greater transparency about the brokers and investment advisors they retain.

For more information regarding the new SEC disclosure rule, please click here.  For more information about our extensive representation of investment professionals in employment and regulatory reporting matters, please contact Michael Donner.  

This posting is intended to summarize recent developments in the law for informational purposes only. It is not intended, and does not constitute, legal advice. We make no warranties of its completeness or accuracy. Because questions regarding the application and interpretation of these and other laws require qualified legal analysis, we ask that you direct any such questions to us following an appropriate, formal retention.