the manual should be kept at hand for easy reference. you are asked and encouraged to raise questions, criticisms or comments about the manual. suggestions for changes or additions are welcome. any questions regarding compliance issues must be directed to the senior vice-president – compliance who is the chief compliance officer
the firm expects you to be thoroughly familiar with the procedures and policies as set forth in this manual. adherence to the policies and procedures set forth will help to achieve our goal of uniform compliance. the firm also requires you to be familiar with the code of ethics which is available to all employees and to clients upon request.
a. use and distribution of the manual . the manual is a basic part of the firm's compliance program. it is intended to be revised or supplemented from time to time. it is the responsibility of the holder to see that his/her copy is up to date by inserting new material as instructed or review the current copy on a shared directory. the adequacy of the policies and procedures will be evaluated at least annually and a report provided to management.
regarding the manual, each officer, principal, manager, supervisor or any other person having managerial or supervisory responsibilities must:
see the firm’s organizational chart for the supervisory system.
congress enacted the investment advisers act of l940 after finding that the activities of those providing investment advice or investment advisory materials were of national concern because of their effect on the economy. certain sections of the 1940’s investment advisors act are not referred in this manual due to the inapplicable nature of them in a manual such as this. these are:
275.0-2 general procedures for serving non-residents
275.0-3 references for rules and regulations.
275.0-5 procedure with respect to applications and other matters.
275.0-6 incorporations by reference in applications.
275.0-7 small entities under the investment advisors act for
purposes of the regulatory flexibility act.
275.203a-5 reserved.
275.203a-6 reserved
275.205-1 definition of “investment performance” of an investment company and “investment record” of an appropriate index of securities prices.
275.205-2 definition of “specified period” over which the asset value of the company or fund under management is averaged.
275.206 (3)-1 exemption of investment advisers registered as broker dealers in connection with the provision of certain investment advisory services.
275.222-1 definitions.
275.222-2 definition of “client” for purposes of the national de minimus standard.
one of the important provisions of the investment advisers act of l940 calls for the registration of investment advisers with the securities and exchange commission (the "commission"). once registered, the adviser must comply with the statute and regulations promulgated under the investment advisers act of l940. included among these are numerous anti‑fraud provisions and various disclosure and financial reporting requirements. in general beginning in 2011 advisers with assets under management greater than $100 million will be registered with the sec.
all other advisers are registered with and regulated by states.
for purposes of section 203a of the act (15 u.s.c. 80b-3a) and the rules thereunder:
investment adviser representative . “investment adviser representative” of an investment adviser means a supervised person of the investment adviser.
place of business . “place of business” of an investment adviser representative means:
principal office and place of business . “principal office and place of business” of an investment adviser means the executive office of the investment adviser from which the officers, partners, or managers of the investment adviser direct, control, and coordinate the activities of the investment adviser.
“client” of an investment adviser .
(i) any minor child of the natural person;
(ii) any relative, spouse, or relative of the spouse of the natural person who has the same principal residence;
(ii) two or more legal organizations referred to in paragraph (a)(2)(i) of this section that have identical owners.
[1] 275.206(4)-7 (compliance procedures and practices)
275.203.a-1 (eligibility for sec registration)
275.203.a-2 (exemptions from prohibition on sec registration)