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Investment Advisers call the Division at (801) 530-6600

What is an Investment Adviser?

An Investment Adviser is simply someone who provides advice on securities for compensation. However, Investment Advisers can render that advice in numerous ways, including:

  • Issuing reports or analysis on securities;
  • Making recommendations to buy or sell securities;
  • Managing a client’s securities portfolio;
  • Preparing financial plans that involve securities recommendations; or
  • Managing an investment fund that allows for the investment in securities.

To determine whether a particular business would be required to license as an Investment Adviser, please review the Division’s "Do I Need a License?" page or contact the Division at (801) 530-6600.

For more information on Investment Advisers and the licensing process, please review the information below.

ANNUAL REQUIREMENTS

Annual Renewals

All licenses (both Investment Adviser and IA Rep) expire each year on December 31. Toward the end of each calendar year, licensed Investment Advisers receive communication from FINRA regarding the renewal process. Licenses are automatically renewed so long as the Investment Adviser has enough funds in their IARD account to cover the renewal fees for the Investment Adviser and all of its IA Reps (see the “Licensing Fees” section of this page for fee amounts).

Additionally, investment advisers required to maintain a bond (for discretionary authority and/or custody) must file Form 4-5BIA with the Division. An adviser must also file an audited balance sheet for the firm If the adviser either: (a) charges fees of more than $1,200 and six months in advance, or (b) maintains custody.

Annual Amendments and Other Amendments

Investment Advisers must also file an Annual Amendment to the Form ADV. This is to ensure that the information in the Form ADV remains accurate. The Annual Amendment must be filed each year within 90 days from the end of the Investment Adviser’s fiscal year.

Additionally, the Investment Adviser must make an Other Than Annual Amendment promptly after any material changes to the Investment Adviser occurs. Lastly, while the Form U-4 must also be amended promptly after any material changes or events occur for the IA Rep, no separate annual amendment is required for the Form U-4.