How to Make Compliance Registration Easier For Broker Dealers and Investment Advisors

As registration and compliance standards are changing rapidly and becoming more complex, it is indeed difficult to keep track of necessary rules and regulations pertaining to broker dealer compliance and registration of investment advisor. Typically, broker dealers, private equity firms, hedge funds and mutual funds, and registered investment advisors are the one who benefits from compliance and registration services. However, owing to remarkable complexity in the process, it becomes preferable to hire professional broker dealer consulting or investment advisor registration services. Compliance and registration related processes seem to be easier and time-efficient by hiring expert services.

Broker is an organization or person who trades in securities. On the other hand, a dealer trades on behalf of the client. Thus, broker dealer is referred to a business or individual who performs both the functions. They either work as subsidiaries of commercial and investment banks, or independently. In today’s complex business environment, broker dealer compliance has become important than ever. Owing to intricacy of compliance process, most broker-dealers hire expert services for broker-dealer registration, compliance consulting, mutual fund and private equity fund assistance, and breakaway broker transitions. In addition to these, they also provide online compliance checklists on monthly basis to facilitate policies and procedures audit.

On the other hand, registered investment advisors (RIAs) are responsible for managing portfolios and giving advice to high net worth individuals and institutional investors. However, for investment advisors, it is important to be registered, which is a complex and time-consuming process. Considering this, there are companies offering professional investment advisor compliance and registration services that makes the process less complicated and hassle-prone. They provide assistance in all types of federal and state registration services. Typically, they have experts with vast experience in state filling and SEC requirements. Moreover, they often have a good network, which speeds up the process of registration and compliance.

Expert professionals will guide you through the complete process of investment advisor registration and compliance, preparing important documentation and offering hands-on assistance in handling complex regulatory issues. Typically, RIA registration services include:

• Pre-registration consulting
• Telephone interview for discussing registration-related matters
• Preparing and filing Form ADV for RIA registration
• Preparing and filing state/SEC registration forms
• Providing written policies and procedures, code of ethics in customized or template online format
• Ongoing support for compliance, including renewals, updates, and annual updating amendment
• Facilitating online registration, compliance, and continuous support tools

Whether you are a broker-dealer or investment advisor registering for the first time, or a firm looking for outsourcing unique compliance needs, choosing the most reliable service provider is critical. Due to limited time and resources, lack of qualified staff, and budgetary constraints, most firms prefer outsourcing their compliance and registration needs. However, it is important to choose a company that has vast experience and network in the field of broker dealer compliance and RIA registration, and the specialization to offer dedicated services as per requirements. At the same time, the company should be good regulatory knowledge, ability to scale, and technological sophistication, offered at a reasonable cost.

Those who want to know more about registering as an investment adviser can visit https://www.ncsonline.com/.

About The Author

Tom Mason works is an investment banker by profession. He also offers consultancy on various investment related topics through the various articles that he writes and shares online and other online forums. He specializes in RIA services amongst others.