Posted on May 16, 2014 | AAII Journal
The U.S. Securities and Exchange Commission (SEC) has made it easier for investors to look up and compare financial adviser fees and policies. The Form ADV Part II Brochure now discloses information that advisers previously did not have to include in regulatory filings.
Perhaps the most notable information is the disclosure of fees. Clear information is provided on what the firm charges and what is required for clients to qualify for discounted fees. (Most typically, certain minimum dollar amount thresholds must be exceeded.) Also included is information on investment strategies, research methods, disciplinary actions, and whether the adviser receives commissions.
Though the filings are open to the public, accessing them at the SEC website is not straightforward. These instructions from SmartMoney.com should get you to them…