Determination of largest independent online financial advisor reflects Betterment LLC's distinction of having highest number of assets under management, based on Betterment's review of assets self-reported in the SEC's Form ADV
, across Betterment's survey of independent online financial advisor investing services as of May 24, 2017.
It is of extreme importance that investment advisors provide accurate and complete information when responding to these new questions on Part 1 of Form ADV
Both exempt reporting advisers and SEC-registered investment advisers must file annual amendments to their Form ADV
filing with the SEC and/or applicable states via the IARD filing system administered by FINRA.
Pursuant to the Form ADV
reporting and disclosure amendments adopted last 2016, investment advisers are now held to submit new requirements in their upcoming registrations.
The Form ADV
that Westrock filed with the Securities & Exchange Commission in late March listed eye-popping assets of almost $1.
One such Form ADV
discloses that offering advice and selling product "involve a possible conflict of interest, as commissionable products can conflict with the fiduciary duties [of loyalty and prudence] of a registered investment advisor.
The data was gleaned from filings by RIAs on Securities and Exchange Commission Form ADV
, which requires them to disclose their compensation, conflicts of interest information, and the registrations of their employees.
What's more, the robo-advisors face no artificial contraints of time or money, meaning they can not only fulfill the letter of the Investment Advisors Act (providing Form ADV
Parts 1 and 2, among other things), they can transcend it by providing more robust disclosures and investor-education content.
As to what additional information you need to provide to participants, you must give them your Form ADV
, Part 2, or an equivalent brochure.
Finally, the registered investment advisor must describe his or her code of ethics in Form ADV
Part 2A, item 11, while also offering to provide a written copy upon request to prospects and clients.
, Part 2A, also called a "Brochure," requires firms to answer 18 items in a prescribed order.
Steps in that process are review of the manager's educational background and professional designations (much of the relevant information can be found in the manager's Form ADV
Part 2), and the manager's experience; for example, how long the advisory firm has been in business and how many ERISA plans the manager provides investment services to.