APPLICATION
REQUIREMENTS FOR
INVESTMENT
ADVISERS
{Code
of Alabama 1975, § 8-6-3 and Commission
Rule 830-X-3}
REGISTRATION OF INVESTMENT
ADVISERS (State Registrants) (IA Essential Information)
1.
Filing
fee: $250.00 through electronic filing,
Investment Adviser Registration Depository (
2.
File
electronically – FORM
ADV through Investment
Adviser Registration Depository, (IARD).
The website address for IARD is www.iard.com. There is an initial setup fee of $150.00
charged by NASDR for investment adviser registrations and notice filings
The
following documents shall be submitted directly to the Alabama Securities
Commission:
3.
Sample
copies of the applicant’s client agreement forms. (Client Agreement Guidelines)
4.
Balance
sheet prepared in accordance with GAAP, dated not more than 90 days prior to
filing of application. All investment
advisers must maintain a minimum net capital of $10,000.00 or post a $50,000.00
surety bond.
5.
Attached
to balance sheet: oath by duly
authorized officer stating that such statement is true and correct to the best
of their knowledge, information, and belief.
6.
A
statement regarding whether the firm maintains custody and/or discretionary
authority should be provided.
7.
A
surety bond in the amount of $50,000.00 on FORM USB, payable to the State of Alabama if:
a. The investment adviser maintains custody of client funds or
securities; or
b. The investment adviser has discretionary authority over
customer accounts; or
c. The investments adviser does not maintain the minimum net
capital of $10,000.00.
8.
If
the applicant is an out-of-state corporation:
·
An
undertaking or affidavit as to whether the applicant has branch offices or
representatives residing in Alabama.
·
A
certificate to do business as a foreign corporation is required if the applicant
has branch offices or representatives residing in this state. This certificate is available through the
Alabama Secretary of State’s office,
1.
Copies
of applicant’s brochure if clients will receive a brochure in addition to or instead
of Part II of Form
2.
An
undertaking or affidavit stating the number and type, if any, of Alabama
clients.