Financial planners and investment advisers operating in Illinois need to understand whether their activities require registration with the Illinois Securities Department.
Illinois specifically states that a person engaged in the business of financial planning or managing $100 million or less in investments may be required to register as a state-registered investment adviser.
Becoming a State-Registered Investment Adviser in Illinois
The application process for a state-registered investment adviser begins through Form ADV filed using the Investment Adviser Registration Depository.
Registration requirements can also extend to Investment Adviser Representatives working for the firm.
Illinois maintains examination requirements for advisers and representatives. The state specifically warns that a person who has not been registered in any jurisdiction for two years may be required to satisfy its examination requirements again.
Registration Is Not the End of Compliance
State-registered advisers must renew their registration annually through the IARD system.
Advisory firms should also maintain processes for keeping regulatory information and client documentation accurate and current.
That includes considering the firm’s advisory agreements, disclosures, financial records, client information and records supporting the financial planning process.
Supporting Better Client Documentation
An organised client information process can make it easier for financial professionals to understand a household and maintain consistent records.
Asset-Map helps advisers visually organise information including assets, liabilities, insurance and other important elements of a client’s financial life.
This can provide advisers with a repeatable framework for client conversations and documentation.
Asset-Map does not determine whether an adviser satisfies Illinois regulatory requirements. Instead, it can form part of the technology and client documentation processes an advisory firm establishes around its broader compliance programme.
This page provides general information only and should not be treated as legal or compliance advice.