SCC announces fee waiver for investment adviser firms

Investment Adviser Registration Depository system fees for state-registered investment adviser firms (“IAFs”) are now waived, the State Corporation Commission announced.

In addition, substantially reduced initial set-up and annual system fees paid by investment adviser representatives (IARs) have been continued.

The IARD system is an internet-based national database sponsored by the North American Securities Administrators Association (NASAA), of which the SCC is a member, and the U.S. Securities and Exchange Commission.  The system provides investment advisers (“IAs”) and IARs a single source for filing state and federal registration and notice filings. It also aids state and federal regulators as a nationwide database for the collection and dissemination of information about IARs and IAFs.

“We are pleased that we are able to continue to waive the system fees while also maintaining the high quality of the IARD system,” said Ron Thomas, director of the SCC’s Division of Securities and Retail Franchising.  The IARD system fee waiver for IAFs has no impact on state revenue and state filing fees will remain unchanged, he noted.

The system fee waiver for IAFs and continuation of reduced initial set-up and annual system fees for IARs were approved recently by the NASAA Board of Directors. NASAA’s Board will continue to monitor the IARD system’s revenues and, if warranted, will make future adjustments to ensure that the system continues to operate effectively and efficiently.

When the IARD system first became operational, the initial IARD set-up and renewal fee was $45.  For 2019, the fee is $10, which remains the same as 2018.  IARD system fees are used for user and technical support and for improvements to the system.

As of November 25, 2018, the SCC has 14,540 IARs and 730 IAFs registered. The IARD system contains the employment and disciplinary histories of more than 30,000 IAFs and more than 351,000 IARs.  This information enables members of the public to research an IA’s background through the Investment Adviser Public Disclosure (IAPD) database, which provides instant access to registration documents filed by SEC- or state-registered IAs.

For questions or additional information, contact the SCC’s Division of Securities and Retail Franchising at 1-800-552-7945 (toll-free in Virginia) or in Richmond at 804-371-9051 or visit the NASAA website at www.nasaa.org.