SEC Investment Adviser Releases

Question 1

To be defined as an IA under IA-770, the three pronged test is:

Answer 1

• do you give advice about securities
• are you in the business of giving advice about securities
• are you compensated for giving advice about securities

Question 2

Does asset allocation advice count as “advice about securities”?

Answer 2

YES

Question 3

IA-1092 added that giving advice to ______ or to _____ and _____ counts as giving advice about securities

Answer 3

giving advice to pension plans, or giving advice to athletes and entertainers

Question 4

A firm that recommends an _____ may itself have to register

Answer 4

recommends an adviser

Question 5

The giving of investment advice need only be a _____ activity to count for registration

Answer 5

regular