Current through Register Vol. 48, No. 12, March 22, 2024
a) Effective
October 1, 2002, each new applicant for registration as an investment adviser
shall file with FINRA, utilizing the IARD, a complete and current application
and pay the filing fee and branch office fee, if any, specified in Section
130.110. The
application shall consist of the following:
1) The Revised Uniform Application for
Investment Adviser Registration required by
17
CFR 279.1 (May 31, 2011) including Schedule
D, which lists all branch offices in this State, if any;
2) One copy of Form U4 for each investment
adviser representative on behalf of the applicant and pay the fee specified in
Section 130.110.
b) Each
applicant for registration as an investment adviser, in addition to the filings
required under subsection (a), shall file with the Securities Department the
following:
1) A balance sheet for the
investment adviser as of a date not more than 60 days prior to the date of the
filing of the application. The balance sheet shall be verified and executed by
the chief financial officer of the investment adviser, if any, or other person
performing a similar function and must contain:
A) an affirmation that the information is
true and correct; and
B) a
statement disclosing whether the investment adviser retains, or during the term
of registration will retain, custody of any client's cash or securities or
accept pre-payment of fees in excess of $500 per client and six or more months
in advance;
2) One copy
of page one of the applicant's most recent Articles of Incorporation or, if a
partnership, certificate of assumed name or similar document evidencing the
legal name of the applicant;
3) At
or prior to registration of the investment adviser, there shall be on file with
the Securities Department, whether through the CRD, IARD or otherwise, the
following:
A) Proof of passing one or more of
the requisite examinations, certifications or designations listed in Section
130.842
for each required principal, unless the Secretary issues an order waiving this
requirement pursuant to Section 8.D of the Act; and
B) Any amendments to the application and
documents filed pursuant to subsection (a), whether as a result of a change in
the information provided since the date of filing or otherwise;
4) One copy of Form U4 for each
investment adviser representative who renders investment advice in this State
on behalf of the applicant and the fee specified in Section 130.110;
5) One copy of the Illinois Form containing
an attestation that the investment adviser has not previously rendered
investment advice for compensation in this State, or setting forth a claim of
exemption or exclusion;
6) One copy
of a written statement manually executed by an officer, partner or principal of
the registered dealer consenting to the dual registration as investment adviser
and salesperson, if registered as a salesperson in this State; and
7) One copy of Part II of the Revised Uniform
Application for Investment Adviser Registration (Form ADV) required by
subsection (a)(1).
c)
The application and documents on file with the Securities Department with
respect to the investment adviser shall be amended from time to time whenever a
change occurs that renders any material information contained in those
documents not accurate in any material respect. The amendment shall be filed
with FINRA, utilizing the IARD, within 10 business days after the occurrence of
the change.
d) For purposes of this
Section, material information includes, but is not limited to:
1) the name and address of the investment
adviser;
2) type of business
organization of the investment adviser;
3) disciplinary action concerning the
investment adviser;
4) whether the
investment adviser has custody of clients' funds or securities or accepts
pre-payment of in excess of $500;
5) whether the investment adviser has
discretion over clients' portfolios; or
6) whether the investment adviser will give
clients Part II of the Uniform Application for Investment Adviser Registration
required by subsection (a)(1) or another document containing the same
information.
e) For the
limited purpose of this Section and solely for the filings and/or fees
submitted to the IARD, the terms "with the Secretary of State", as used in
Section 8.C-5, 8.D, 8.D-5 and 8.H of the Act, and "with the Securities
Department", as used in this Section, shall include a filing and/or fee
submitted to FINRA, utilizing the IARD.
f) Annual Re-registration
All new registration applications and re-registration
applications shall expire at the end of the day on December 31
annually.