North American Securities Administrators Association 2007 Report of Investment Adviser Examinations

摘要

Purpose – The purpose of this paper is to summarize data gathered from the North American Securities Administrators Association 2007 Report of Investment Adviser Examinations, to help all member jurisdictions and advisers gain a better understanding of current compliance challenges, and to assist advisers in developing compliance programs that will minimize the potential for regulatory violations, and therefore build public trust in their activities. Design/methodology/approach – Summarizes results of examinations in the categories of registration, unethical business practices, books and records, supervision, privacy policies, financial matters, fees, advertising, custody, investment activities, and solicitors; provides “best practices” recommendations based on the results of the examinations. Findings – Of the 418 examinations conducted, there were 2,135 deficiencies noted in 13 compliance categories. The examinations conducted in 2007 found a 12 percent and 19 percent increase respectively in advisers with Registration and Books and Records deficiencies. A slight increase in advisers with Supervisory deficiencies was also noted. The number of advisers with custody deficiencies dropped by 6 percent. Originality/value – A valuable survey of compliance practices and deficiencies conducted by a leading professional association of securities administrators.