§ 7-11-204 - Exempt investment adviser and investment adviser representatives.
SECTION 7-11-204
§ 7-11-204 Exempt investment adviser andinvestment adviser representatives. – The following investment advisers and investment adviser representatives areexempt from the licensing requirements of § 7-11-203:
(1) An investment adviser who is not required to beregistered as an investment adviser under the Investment Advisers Act of 1940,15 U.S.C. § 80b-1 et seq., if:
(i) Its only clients in this state are other investmentadvisers, federal covered advisers, broker dealers, financial or institutionalinvestors; and the investment adviser has no place of business in this stateand the investment adviser directs business communications in this state to aperson who is an existing client of the investment adviser and whose principalplace of residence is not in this state; or
(ii) The investment adviser has no place of business in thisstate and the investment adviser, during the preceding twelve (12) monthperiod, has had not more than five (5) clients, other than those specified inparagraph (i), who are residents of this state.
(2) An investment adviser representative if the investmentadviser with whom it is associated is exempt under subdivision (1) of thissection; and
(3) Other investment advisers or investment adviserrepresentatives the director exempts by rule or order.