Saturday, October 1, 2011

Risk Assessment Time

Greetings from AdvisorAssist!

Fall is upon us and we wanted to remind you that it is time to start your annual assessment of your compliance program. 

You are required to test and update your compliance program at least annually and as your business grows and changes.  It is important to identify risks and weaknesses in your compliance program and update with new controls where applicable.  If you have not performed this review yet for 2011 - it is time to start. 

AdvisorAssist has developed topic-based risk questionnaires that are accessible from your Advisor Portal. You can access these documents at:  

The Compliance Rules
Under Rule 206(4)-7 of the Investment Advisers Act of 1940 and comparable state laws that follow, an advisor's Chief Compliance Officer ("CCO") is required to assess the effectiveness of the advisor's compliance program, at least annually, to ensure the program is adequately designed to prevent, detect and correct violations of securities laws. 

How to Get Started 
We encourage you to begin with any areas that are of concern to you.  Filling out the questionnaires should help you evaluate your current process and highlight any deficiencies in your business processes as well as your books and records.  

Download the applicable questionnaires, fill them out and save them accordingly.  If you have questions about the process or need someone to review your work please reach out to us at

If you are not sure where to start... 
We suggest Agreements, Business Continuity Plan, Personal Securities Trading, and Regulatory Filings - Form ADV.  Regulators focus time reviewing your Form ADV and agreements for consistency and accuracy.  With a heavy reliance on technology it's important to think your business continuity needs and it's to understand your obligations under the personal securities trading rules.  As we get questions on various areas we will be sending out emails with general tips and answers to frequently asked questions.  

In the meantime you can contact us with questions regarding this process and the questionnaires at  


AdvisorAssist Team


Post a Comment