44-3159
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44-3159. Reporting requirements A. In order to retain licensure, licensed investment advisers and investment adviser representatives shall file the following with the commission through the IARD: 1. A supplemental statement showing any material changes in the facts contained in the original application for licensure as supplemented or amended as the changes occur or within thirty days after the change. 2. If a licensed investment adviser has custody of client monies or securities or requires payment of advisory fees six months or more in advance and in excess of five hundred dollars for each client, an audited balance sheet as of the end of the investment adviser's fiscal year. Each balance sheet shall be: (a) Prepared in conformity with generally accepted accounting principles and examined in accordance with generally accepted auditing standards. (b) Audited by an independent certified public accountant. (c) Accompanied by an opinion of the independent certified public accountant as to the report of financial position, and by a note stating the principles used to prepare the report, the basis of included securities and any other explanations required for clarity. B. If the IARD does not provide for receipt of a filing, the filing may be made with the commission by mail or any other reasonable method that is acceptable to the commission. C. The financial statements prescribed in subsection A shall be filed with the commission within ninety days after the end of the investment adviser's fiscal year. D. Any licensed investment adviser that has its principal place of business in another state is exempt from the requirements prescribed in subsection A if all of the following apply: 1. The investment adviser is registered as an investment adviser with the state in which it maintains its principal place of business. 2. The investment adviser has complied with the financial reporting requirements, if any, of the state in which it maintains its principal place of business. 3. If prescribed by the commission, the investment adviser files with the commission a copy of the financial reports it files with the state in which it maintains its principal place of business. |