Investment Adviser Regulation


This practice note discusses the regulation of investment advisers. All investment advisers, including those not registered federally with the United States Securities and Exchange Commission (the SEC), are subject to regulation under the Investment Advisers Act of 1940, as amended (the Advisers Act). The majority of the Advisers Act applies only to firms registered (or required to be registered) as an investment adviser with the SEC. Nonetheless, important portions of the Advisers Act apply equally to all investments advisers or, in some cases, to a subset of unregistered advisers referred to as exempt reporting advisers (as defined below).