Specialized Solutions for Investment Advisors’ Compliance Management

We offer a comprehensive set of risk and compliance solutions tailored to a variety of investment advisors' compliance obligations. We can help you comply with investment advisors' regulations in a commercially oriented and goal-focused manner, providing a tailored approach to investment advisors' compliance management with regard to your specific circumstances, including:

• Your commercial objectives
• Your financial planning products and solutions
• Your business size
• Your technology and human resources
• Your risk appetite
• Your governance structure
• Your client demographics
• Your countries of operation, their applicable laws, and relevant investment advisors' licensing requirements and regulations at the federal, state levels and abroad, including key aspects such as outsourced providers' monitoring, compliance training, risk management, audit, and assurance.
• Any related compliance obligations, including, but not limited to, investment advisors' obligations under privacy laws, anti-money laundering and counter-terrorist financing (AML/CFT) laws, fair trading laws, and more.
• Investment advisors' compliance assurance obligations, including internal control design and testing, implementation of compliance calendars, management plans, compliance assurance programs and other second and third-line compliance requirements.
• Specific operational compliance requirements for investment advisors, including but not limited to:
  • Client due diligence and onboarding
  • Surveillance and monitoring
  • Record-keeping
  • Conflict of interest management
  • Regulatory technology (RegTech) integration
  • Internal reporting
  • External reporting
  • Transaction execution
  • Regulatory Filings

 

What Jurisdictions Do Our Compliance Solutions Cover?

This page is dedicated to US Investment Advisors' Compliance Solutions. Investment advisors in the US are regulated by the Securities and Exchange Commission (SEC) under the Investment Advisers Act of 1940 for those managing assets above $100 million. Advisors below this threshold typically register with state securities authorities, adhering to specific compliance standards. Beyond the USA, our compliance solutions extend across major financial markets and cover investment advisors' regulation and investment advisors' licensing requirements in the following jurisdictions:

• Australia: Where investment advisors should comply with the Australian Securities and Investments Commission's (ASIC) regulations under the Corporations Act 2001, mandating the acquisition of an Australian Financial Services License (AFSL) to provide personal financial advice to retail clients. Robo-advisor compliance is also covered under these regulations.
• United Kingdom: Where the Financial Conduct Authority (FCA) regulates investment advisors under the Financial Services and Markets Act 2000. Investment advisors should secure FCA authorization and comply with the Retail Distribution Review (RDR) standards to maintain investment advisors' compliance, including robo-advisor compliance.
• Singapore: Where the Monetary Authority of Singapore (MAS) regulates investment advisors under the Financial Advisors' Act (FAA), requiring firms to be licensed to offer financial advisory services. Robo-advisor compliance is also required.
• New Zealand: Where investment advisors should be licensed by the Financial Markets Authority (FMA) under the Financial Markets Conduct Act 2013. Robo-advisor compliance is also covered under these regulations.
• European Union: Where investment advisors are regulated under the Markets in Financial Instruments Directive (MiFID II), focusing on transparency, client protection, and adherence to high investment advisor standards, including robo-advisor compliance.

 

What Types of Investment Advisors Do We Support?

We offer investment advisors' compliance solutions to the following types of businesses:

• Independent Investment Advisors (IFAs): Advisors who provide unbiased and personalized financial advice to clients, typically not tied to any particular financial institution.
• Registered Investment Advisors (RIAs): Firms or individuals registered with the SEC or state regulators, providing investment advice and managing client portfolios.
• Retirement Planning Consultants: Advisors specializing in helping clients plan for retirement, including managing retirement accounts and developing long-term savings strategies.
• Estate Planning Specialists: Professionals who assist clients with managing their estate, including wills, trusts, and estate tax planning.
• Investment Advisory Firms: Companies that provide a range of investment services, including portfolio management, financial planning, and advisory services to individuals and institutions.
• Robo-Advisors: Automated platforms that provide algorithm-driven financial planning services with little to no human supervision.
• Wealth Managers: Advisors who offer a combination of financial planning, investment management, and other financial services to high-net-worth individuals.
• Financial Planners: Professionals who help individuals and businesses create strategies to achieve their financial goals, including budgeting, retirement planning, and risk management.
• Tax Advisors: Specialists in providing advice on tax-related matters, helping clients minimize tax liabilities and comply with tax regulations.
• Other Businesses Offering Financial Advice: This includes any other entities providing financial advice that do not fit into the above categories, such as educational institutions offering financial literacy programs or fintech companies providing financial insights.

 

Investment Advisors’ Compliance Advisory

Our focus areas include:

• Detailed Compliance Advice: Covering investment advisors' compliance management issues across the first, second, and third lines, as well as matters related to effective compliance with financial markets regulations and investment advisors' licensing requirements.
• Banking Relationships Advice: On risk and compliance issues related to managing and expanding relationships with banks, liquidity providers, and other financial institutions to help you meet their risk appetite requirements, anti-money laundering and counter-terrorist financing requirements, fraud prevention and recall volume expectations, and other compliance-related and operational standards.
• Operational AML Advice: Advising support, onboarding, KYC, operating and other teams on the day-to-day onboarding and support queue management, effective AML/CFT resource allocations, and operational improvements, helping you maintain the overall customer experience and efficiency while remaining compliant with investment advisors' AML/CFT requirements.
• Operational Compliance Advice: Advising compliance, management, technology, and support teams on the day-to-day compliance with investment advisors' regulations, focusing on internal processes and critical internal controls for effective investment advisors' compliance management.
• Risk Management Advice: Covering risk rating and methodologies, risk assessments, management, and mitigation for various risk types faced by investment advisors, including regulatory, ML/TF, fraud, data protection, and operational risks. We help you safeguard against potential compliance breaches and comply with risk management obligations under investment advisors' licensing requirements and other applicable laws and regulations.
• Compliance Framework Advice: To help you create or enhance your compliance management framework, identify gaps and areas of improvement, meet the investment advisors' compliance obligations effectively, improve internal governance and reporting, and optimize them for market expansion and growth.
• Investment Advisors' Licensing Advice: We can guide you through the licensing process, help you apply regulations to your specific circumstances and business environment, and meet investment advisors' licensing requirements to become licensed or maintain it.
• Peer Benchmarking and Best Practices: We can help you benchmark your compliance practices against peers and applicable regulatory compliance guidance, identify areas for improvement and adopt best practices for enhanced compliance.
• Government Agencies Liaison Advice: We provide strategic guidance to senior management and compliance teams on maintaining and managing relationships with external bodies, including regulators, AML/CTF supervisors and law enforcement agencies, focusing on long-term compliance strategies and proactive engagement.
• Specific Investment Advisors' Compliance Issues: We can help you resolve specific risk or compliance issues related to investment advisors' regulations and compliance obligations, including but not limited to external audits and reviews, reporting, oversight, difficult clients or transactions, expansion challenges, compliance management issues, process optimization, regulatory challenges you may encounter and more.
• Further information: You can visit our Regulatory Compliance Consulting Solutions page for a comprehensive list of advisory services we offer to investment advisors and other licensed financial institutions, financial services providers, and regulated businesses.

 

 

Reporting and Regulatory Liaison Solutions for Investment Advisors’ Compliance

• Regulator Liaison Management: Providing operational guidance to senior management and compliance teams on managing relationships with regulators, AML/CFT supervisors, police bodies, privacy commissioners, and other government entities. This includes handling requests for information, responding to ad-hoc regulatory inquiries, managing findings from audits and investigations, managing compliance with reporting obligations for investment advisors and more.
• Board and Committee Reporting: Facilitating structured reporting workflows for various committees and board delegates, including risk, compliance, and audit committees, focusing on your current compliance status, deviations from your risk appetite, changes in risk ratings and any operational compliance updates to ensure that governance structures are well-informed and aligned with compliance management practices.
• Compliance Performance Metrics: Developing and presenting comprehensive compliance performance metrics to the board or relevant committees, offering insights into your compliance effectiveness and identifying points for improvement in key compliance areas, including compliance training, fraud prevention, compliance monitoring, risk rating and assessment, controls effectiveness, adherence to your compliance calendar, regulatory technology (RegTech) performance, and more.
• Internal Audit Reporting: We can help you increase the effectiveness of the internal audit to make its findings reflect your actual performance against the investment advisors' compliance obligations. This includes developing tailored methodologies for the auditors, preparing the necessary audit evidence and reviewing audit results. The goal is to ensure that audit procedures and outcomes directly contribute to maintaining and enhancing your compliance status and internal controls' effectiveness.
• AML/CFT Reporting Compliance:  We help with the implementation of effective AML/CFT reporting processes, aligning with specific anti-money laundering regulations for internal oversight and prompt escalation of critical AML issues within your business to help the management receive a clear overview of your AML/CFT compliance status.
• Transactional Reporting: Implementing effective transactional reporting procedures to help with investment advisors' compliance management of reporting obligations under various laws and regulations, including submitting SAR, SMR, STR, PTR, TTR, specific reportable matters under the investment advisors' licensing requirements and other externally reportable transactions and activities.
• Internal Quality Assurance Reporting: While second-line control testing is crucial for complying with investment advisors' regulations, including investment advisors' licensing requirements, first-line quality assurance results are equally important for effective risk and compliance management. We help organize effective reporting lines, tailor reporting content to your specific circumstances, products, and team size, and establish a structured approach to responding to reporting outcomes.

 

 

Comprehensive Compliance Management Solution for Investment Advisors

Our compliance management services include, but are not limited to, the following:

• Investment Advisors' Compliance Management Leadership: We act as your Compliance Leads and Compliance Managers, fully managing compliance obligations under the applicable investment advisors' licensing requirements, laws, regulations, industry codes, and regulatory guidance.
• Second-Line Compliance Management: We offer a full range of second-line compliance assurance solutions, including internal controls testing for operational, compliance, marketing, legal and other risks, as well as managing issue closure control testing and more.
• Supporting the Board in Strategic Compliance Management: Advising on the necessary compliance resourcing, budget, tools, role structuring, and compliance functions' structure to support your specific business objectives within your risk appetite and risk management framework.
• Compliance Project Management: Effectively coordinating between senior management, committees, legal advisers, risk and compliance functions, outsourced providers, and different departments, including product development, technology, customer support, operations, assurance, marketing, and others, to help you successfully implement compliance projects across the business.
• Customized Governance Solutions: Tailoring governance frameworks and mechanisms to fit your specific governance structure and effectively comply with investment advisors' regulations and other applicable obligations. Whether your business is locally oriented, a start-up, undergoing expansion, part of a multinational group, has a listed parent company or is undergoing restructuring, we tailor the oversight of investment advisors' compliance management to your business case.
• Stakeholder Management and Reporting: Reporting to the board, committees, shareholders, regulators and other stakeholders. Providing management and the board with comprehensive compliance reports that cover your compliance with investment advisors' compliance obligations, regulatory development summary, compliance-related data and statistics, internal controls testing outcomes and more. Also covering the status of your specific compliance-related projects and compliance goals, relevant compliance KPIs, and more.
• Compliance Calendar Implementation: We design and implement compliance management programs and calendars, covering such areas of investment advisors' compliance obligations as policy and key document reviews, control testing, risk assessment and reviews, vendor reviewers, user system access reviews, assurance activities and more.
• Managing Customer Onboarding and Due Diligence: Implementing commercially oriented and compliant processes for KYC information collecting, Know Your Business (KYB), ML/TF risk assessment, Pep and Sanctions screening, CDD and EDD especially for higher ML/TF risk clients, to help you comply with AML/CFT compliance obligations for investment advisors.
• AML Transaction Monitoring and Reporting: Developing and implementing a set of business-specific ML/TF alerts and red flags to detect and report suspicious transactions to comply with the investment advisors' AML requirements without making AML/CFT compliance a hindrance to business.
• Information Requests and AML/KYC Data Sharing: Handling information requests from law enforcement agencies, AML/CTF supervisors, and other relevant AML/CTF designated entities, such as your banking partners and other essential service providers (liquidity providers, finance providers, etc.), ensuring that you are fully supported in all AML/CTF compliance-related communications.
• Business Expansion Support: Providing support for your business expansion objectives, recognizing and assessing new risks, developing and implementing controls and mitigations for them, as well as addressing new compliance obligations and putting in place practical tools and systems to manage them.
• Investment Advisors' Operational Compliance: Including but not limited to:
  • On-the-Ground Compliance: Conducting compliance management meetings, organizing routine and ad hoc compliance reporting, overseeing mitigations and controls testing, leading adjustments and enhancements to your internal controls and protocols when required.
  • Compliance Process and Operations Building: Developing effective and compliant procedures and processes to implement your policies, support your operations across different teams and mitigate operational, regulatory and other risks.
  • Outsourced Provider Performance Monitoring: Setting up initial due diligence and ongoing review frameworks for your outsourced providers to help you meet the required service standards for outsourcing under various investment advisors' compliance obligations, including investment advisors' licensing requirements.
  • Incident Management and Reporting: We can help you set up effective processes for incident reporting, escalations, and management at different levels of your business.

 

Investment Advisors’ Compliance Assurance 

Our services include:

• Compliance Assurance Programs:  We can design and implement your compliance assurance program to maintain enhanced oversight of your compliance with both investment advisors' regulations and your internal compliance and risk appetite thresholds.
• Organization-Wide Risk Assessments: Helping you focus on the specific risks faced by your business, considering its size, products, client types, jurisdictions of operation, delivery channels, financial institutions you interact with, available technology, and other tools. This includes assessing available mitigations, controls, their effectiveness, residual risk ratings, and the plan to move forward.
• Internal Controls Design: We can develop internal controls for various risk types, including regulatory, fraud, operational, strategic, financial, and other risks. Please visit our Internal Controls Design page for more information. 
• Assurance Testing: We conduct assurance testing to verify that the business complies with its policies, procedures, and investment advisors' compliance obligations, including investment advisors' licensing requirements. We also assess whether your internal controls effectively mitigate existing risks, including those required to be monitored under the applicable investment advisors' regulations. This process includes a compliance controls testing report and, if necessary, a gap analysis.
• Compliance Quality Assurance: We go beyond merely meeting regulatory requirements. We focus on evaluating and enhancing your risk and compliance management processes to ensure they align with your current and future goals, business model, your risk analysis, your current client inflow, and more. We also suggest which compliance processes you can use to meet your goals. Here is an example of this service in the AML/CFT area.
• Assurance Reporting: Compiling testing findings and issuing comprehensive compliance assurance reports, which include:

• Identification of any deficiencies or control weaknesses, with clear explanations and potential root cause analysis.
• Recommendations for corrective actions to address identified issues and enhance compliance effectiveness.
• Evaluation of the overall effectiveness of your internal controls and regulatory compliance monitoring program against your desired assurance level.

• Regulatory Inspection Readiness: We can help your business prepare for external audits and regulatory inspections, reducing the risk of adverse findings related to investment advisors' compliance obligations. This includes conducting mock inspections to identify gaps, reviewing documentation and record-keeping practices to ensure all relevant materials are well-organized and readily accessible, and training staff on their roles in the inspection process. We assist in identifying any missing information and weak points, provide interview preparation, and more to ensure readiness for auditor or regulator review.
• Further information: You can visit our Compliance Assurance Solutions page for more information on our third-line compliance assurance review solutions.

 

 

Compliance Remediation Solutions

Our focus areas include:

• Compliance Remediation Advice: Assisting investment advisors in effectively addressing and rectifying compliance issues, from minor breaches to significant regulatory challenges, including warnings and action plans.
• Remediation Plan Development: Following the independent review, we assist in analyzing the findings to identify necessary remedial actions. We then support investment advisors in devising a detailed plan outlining these actions for submission to your regulator or an AML/CFT supervisor, ensuring the plan is both actionable and compliant with regulatory expectations.
• Remediation Plan Commitment: We help investment advisors complete their remediation plans and prevent non-compliance recurrence.
• Executive Attestation Support: Our services include assisting senior executives in preparing the required attestations to your regulator. This involves confirming that all necessary remedial actions have been undertaken and adequate compliance measures are in place, supported by comprehensive documentation and evidence. This option covers assistance with the removal of any licensing restrictions.
• Further Information: For more information, you can visit our Compliance Remediation Solutions page.

 

Internal Controls Testing and Investment Advisors’ Compliance Management

When it comes to reality versus a nice policy or procedure with nothing else to show for it, it's often a case where a policy says A, but reality says B. One might ask, why didn't we test our internal controls before? Or, why didn't we do it properly? There's nothing worse than faking compliance instead of actually doing it.

Our second line of compliance defense solutions covers the development, testing, and enhancement of a wide range of controls to ensure compliance with various laws and regulations governing investment advisors' compliance obligations.

We go beyond merely quoting investment advisors' regulations or a selection of licensing requirements, then adding Excel sheets painted in different colors as a supposed source of truth with nothing to show for it.

• We test them.
• We link them to your risk appetite and core risk management documentation.
• We provide relevant suggestions and analysis tailored to your business.

Some of our focus areas for testing the investment advisors' compliance requirements include:

 

Regulatory Compliance and Licensing Controls

• Compliance Management: Financial advisory firms are expected to have robust compliance frameworks to manage regulatory obligations, including conflict of interest management and insider trading prevention measures.
• Liquidity Management: Financial advisory firms should ensure sufficient liquidity to meet operational needs, particularly those managing client assets.
• Capital Adequacy: Financial planners should maintain sufficient tangible financial resources to absorb potential losses, particularly those holding client funds.
• Financial Auditing: Financial advisory businesses are expected to engage qualified auditors who should conduct regular financial audits to verify the accuracy of financial statements and regulatory compliance.
• Regulated Counterparty Engagement: Financial advisory firms should comply with restrictions on engaging in transactions with financial service providers that are not regulated or authorized by a competent authority.
• Account Review and Reconciliation: Financial planners should conduct regular review and reconciliation of client accounts to verify transaction accuracy.
• Professional Conduct and Ethics: Investment advisors are expected to adhere to high standards of professional conduct and ethical behaviour.
• Competency Requirements: Financial advisory firms should meet specific competency requirements, including approved qualifications and continuing professional development (CPD).
• Staff Training and Qualifications: Investment advisors should ensure that all staff meet the required qualifications and complete necessary training programmes.

 

Operational Oversight Controls

• Outsourcing Oversight: Financial advisory firms should maintain control and oversight over outsourced functions to ensure they do not compromise regulatory obligations.
• Risk Management: Financial advisory businesses should establish comprehensive risk frameworks and procedures to identify, assess, and manage operational and market risks
• Governance Structures: Financial planners are expected to have effective governance structures to oversee operations and ensure responsible management and decision-making.
• Senior Management Accountability: Financial advisory firms should assign specific responsibilities to senior managers to ensure accountability for conduct and competence.
• Operational Resilience: Financial advisory businesses should ensure the resilience of critical business services, planning for continuity amidst disruptions.
• Technology Risk Management: Investment advisors should manage technology risks, especially those engaged in electronic trading or reliant on sophisticated IT systems, including algorithmic trading compliance.
• Conflict of Interest Management: Financial advisory firms should have robust processes to identify, manage, and mitigate conflicts of interest to ensure clients' best interests are always prioritized.
• Robo-Advice Controls: Financial advisory firms offering robo-advice are expected to implement controls for algorithm transparency, regular reviews, and client suitability assessments.

 

Market Integrity and Transparency Controls

• Fair Market Conduct: Financial advisory firms should ensure market conduct is fair and transparent.
• Advisor Code of Ethics Compliance: Financial advisory firms are expected to comply with an appropriate code of ethics and adhere to ethical standards and conduct as outlined by regulatory authorities. For example:
  • In the USA, investment advisors registered with the SEC or state securities authorities are expected to follow the code of ethics outlined by these regulators.
  • In the UK, investment advisors authorized by the FCA should adhere to the FCA's Principles for Businesses, which include ethical conduct.
  • In Australia, investment advisors should comply with the Financial Adviser Standards and Ethics Authority (FASEA) Code of Ethics.
  • In Singapore, investment advisors should follow the MAS Guidelines on Standards of Conduct for Financial Advisers.
• Client Disclosures: Financial planners are expected to maintain high standards of conduct and ensure that disclosures to their clients are clear, accurate, and effective.
• Fair Service Provision: Financial advisory firms should provide services efficiently, honestly, and fairly.
• Client Dispute Resolution: Financial advisory businesses should have mechanisms for resolving client disputes and ensuring client compensation, including client complaints and disputes.
• Communication Standards: Investment advisors should establish and maintain robust mechanisms for regular, clear, and effective communication with clients regarding their investment portfolios, including client relationship management.

 

Resource Management Controls

• Adequate Resources: Financial advisory firms should maintain adequate financial, technological, and human resources to comply with regulations and serve clients effectively.
• Professional Competence: Financial advisory firms are expected to ensure key personnel possess the necessary competence, knowledge, and skills to provide suitable advice.
• Ongoing Professional Development: Financial planners should engage in ongoing professional development activities to stay abreast of regulatory changes, industry best practices, and evolving market trends.

 

Reporting Controls

• Regulatory Reporting: Financial advisory firms should submit regular reports to relevant regulatory authorities detailing financial status, training and competence, client interactions, compliance status, etc.
• Record-Keeping: Financial planners should maintain accurate records of all client interactions, transactions, and financial matters for transparency and accountability.
• Transaction Reporting: Financial advisory firms should ensure compliance with any transaction reporting requirements under financial marketing laws.

 

Service Management Controls

• Fair Client Treatment: Financial advisory firms should adhere to principles ensuring fair treatment of clients, with clear communication and transparent dealings.
• Client Interest Protection: Financial planners should protect client interests and ensure fair treatment.
• Data Privacy Compliance: Financial advisory firms should comply with data privacy regulations to protect client information, including data security and privacy.
• Cybersecurity Measures: Investment advisors should implement cybersecurity measures to safeguard client data and financial information.

 

Transactional Controls

• Client Fund Disbursement: Financial advisory firms should implement controls to ensure that client funds are disbursed according to authorized instructions.
• Personal Trading Monitoring: Financial planners managing client assets in discretionary accounts should monitor personal trading activity to mitigate conflicts of interest.
• Electronic Trading Controls: Financial advisory firms providing electronic trading services should have controls around electronic trading risks.

 

Registration and Licensing Solutions for Investment Advisors and Robo-Advisors

• Financial Licensing Application Support: We provide comprehensive support for a wide range of investment advisors' licensing applications, including

US Investment Advisors and Robo-Advisors Compliance:

• SEC Registration: We assist investment advisors managing assets above $100 million in registering with the Securities and Exchange Commission (SEC) under the Investment Advisers Act of 1940, ensuring compliance with federal regulations.
• State Registration: We support advisors managing assets below $100 million in registering with state securities authorities, adhering to specific financial advisor compliance standards.
• USA Robo-Advisor Compliance: We guide robo-advisors through SEC or state registration processes, ensuring their algorithms and advisory services meet regulatory standards for transparency and client suitability.
• Further Information: Visit our US Financial Adviser License page for more information on the investment advisors' licensing requirements in the US.

Investment Advisors' Regulations in Australia:

• AFSL Application: We assist investment advisors in obtaining an Australian Financial Services License (AFSL) from the Australian Securities and Investments Commission (ASIC) under the Corporations Act 2001.
• Australia Robo-Advisor Compliance: We ensure robo-advisors comply with ASIC's regulations, including requirements for algorithm transparency and client suitability assessments.
• Further Information: Visit our AFSL Financial Adviser License page for more information on the investment advisors' licensing requirements in Australia.

Investment Advisors' Regulations in the United Kingdom:

• FCA Authorization: We support investment advisors in securing authorization from the Financial Conduct Authority (FCA) under the Financial Services and Markets Act 2000.
• UK Robo-Advisor Compliance: We help robo-advice providers meet the FCA's regulatory standards, including those specified in the Retail Distribution Review (RDR).
• Further Information: Visit our FCA Authorisation Page for Financial Advisers for more information on the investment advisors' authorization requirements in the UK.

Investment Advisors' Regulations in Singapore:

• FAA Licensing: We assist investment advisors in obtaining a license from the Monetary Authority of Singapore (MAS) under the Financial Advisers Act (FAA).
• Singapore Robo-Advisor Compliance: We help robo-advice providers adhere to MAS regulations, focusing on compliance with guidelines for algorithm transparency and client suitability.
• Further Information: Visit our Singaporean Financial Adviser License page for more information on the investment advisors' licensing requirements in Singapore.

 

Investment Advisors' Regulations in New Zealand:

• FMA Licensing: We guide investment advisors through the licensing process with the Financial Markets Authority (FMA) under the Financial Markets Conduct Act 2013.
• New Zealand Robo-Advisor Compliance: We help robo-advice providers comply with FMA's standards, including regular algorithm reviews and client suitability checks.
• Further Information: Visit our New Zealand Financial Adviser License page for more information on the investment advisors' licensing requirements in New Zealand.

Investment Advisors' Regulations in the European Union:

• MiFID II Compliance: We support investment advisors in meeting the Markets in Financial Instruments Directive (MiFID II) requirements, focusing on transparency and client protection.
• EU Robo-Advisor Compliance: We help robo-advice providers meet MiFID II standards, including algorithm transparency and client suitability assessments.

• International Governance Alignment: We provide strategic advice on aligning governance models for investment advisory businesses operating across multiple jurisdictions to meet diverse regulatory expectations while maintaining operational efficiency and regulatory compliance.

 

Policies and Procedures for Investment Advisors’ Compliance Management 

• Compliance Policies and Core Documents: We develop, enhance, and implement a set of core policies, manuals, frameworks, and procedures for effective investment advisors' compliance management.
• Effective Procedures for Investment Advisors' Compliance Management: We draft and enhance a detailed set of procedures and protocols to meet the distinct needs of your business, focusing on efficient compliance, your business goals, and applicable investment advisors' compliance requirements.
• Examples: These policies and procedures include, but are not limited to:

 

Operational Compliance

• Compliance Management Frameworks
• Compliance Monitoring Programs
• Compliance Calendars and Checklists
• Complaints Handling and Dispute Resolution Policies
• Compliance Training Manuals and Programs, as part of our regulatory compliance training solutions
• Robo-Advice Compliance Policy: Ensuring robo-advisors adhere to all regulatory requirements, including algorithm transparency, regular reviews, and client suitability assessments
• Obligation Registers
• Incident Reporting Policies and Procedures
• Outsourcing Policies and Vendor Risk Management policies as part of our outsourced provider's compliance management solutions
• New Client Account Opening Policies and Procedures, as part of our customer onboarding solutions

 

Governance and Oversight

• Board Charters, Risk, Audit and Compliance Committee Charters, as part of our corporate governance solutions
• Codes of Conduct
• Delegations Registers
• HR Manuals and Policies
• ESG Compliance Policies
• Conflict of Interest Policies

 

Risk Management

• Risk Management Frameworks as part of our risk management solutions
• Risk Assessment Guidelines and Methodologies
• Internal Control Testing Methodologies
• Risk Registers and specialized risk registers like Health and Safety Risk Registers
• Cybersecurity Risk Management Policies
• Robo-Advice Risk Management Policy: Addressing specific risks associated with robo-advisory services, such as model risk, cybersecurity, and client data protection

 

Audit and Assurance

• Compliance Assurance Programs as part of our compliance assurance solutions
• Internal Audit Policies and Programs as part of our internal control testing solutions
• Regulatory Reporting Procedures

 

Client and Market Conduct

• Marketing and Advertising Policies
• Client Communication Policies
• Robo-Advice Client Communication Policy: Ensuring clear and effective communication about how robo-advice works, including its limitations and the role of human oversight

 

AML/CFT and Financial Crime Compliance

• AML/CFT Compliance Programs
• AML/CFT Risk Assessment
• Whistleblowing Policies
• Sanctions Compliance policies and procedures
• Fraud Prevention Protocols and Controls as part of our fraud prevention solutions
• ABC Policies

 

Privacy and Data Management

• Client Data Protection Policies
• Record-keeping Policies and Procedures and/or Data Governance Policies as part of our record-keeping compliance solution
• External Privacy Policies
• Internal Data Protection Compliance Programs

 

Compliance Training and Capacity Building

We focus on practical compliance and the application of training to real-world compliance scenarios and challenges that investment advisors generally face. Our services include:

• Customized Compliance Training Solutions: Specialized compliance training sessions for various teams, including management, compliance, operations, sales, and customer relations, focusing on investment advisors' regulations, applying investment advisors' compliance management practices to your circumstances, risk awareness, and more.
• Up-to-date Regulatory Compliance Updates:  Keeping compliance officers, managers, CROs, COOs, and other Risk and Compliance team members informed of changes in investment advisors' licensing requirements and regulations, AML/CFT updates, and changes in regulatory guidance.
• Data Analysis for Effective Compliance Monitoring: Covering training on compliance-related, data-based analysis and its results, including risk rating, internal control adjustments, resource and focus reallocation, and more.
• Workshops on Emerging AML Trends and Red Flags: Updating on the new AML trends, red flags, typologies, and AML/CFT requirements for investment advisors. For more information, please visit our AML/CFT Training Solutions page.
• Practical Workshops: Interactive workshops focused on effective and goal-oriented investment advisors' compliance, capacity planning, and resource allocation, covering:

• Investment advisors' regulations
• Internal and external compliance reporting
• Effective governance over risk and compliance functions
• Organization-wide risk assessment, risk rating methodologies and the development, management, and testing of corresponding internal controls, including controls testing methodologies and practical techniques.
• Investment advisors' compliance reality, including outsourced provider monitoring, UAV management, incident management, product suitability assessments, advertising and marketing compliance, improvements in the client onboarding journey, transaction monitoring processes, and more.

• Further information: You can visit our Compliance Training Solutions page for more information on the compliance training services we offer to licensed financial institutions and financial service providers.

 

 

Investment Advisors and AML/CTF Compliance

We offer a complete set of solutions covering investment advisors' anti-money laundering (AML), financial crime and counter-terrorism financing (CTF) compliance. Our solutions include:

• Customer due diligence, screening, and customer onboarding solutions
• Development of transaction monitoring frameworks tailored to investment advisors' specific ML/TF red flags and your business specifications
• AML advisory covering investment advice providers' compliance issues and challenges
• Drafting, testing, and updating AML policies and procedures
• AML training and capacity building
• Managed AML compliance solutions for investment advice providers
• Internal and statutory AML/CFT audit solutions for investment advisors
• Financial crime prevention framework development focusing on common fraud risks faced by investment advisors
• For more information, please visit our specialized AML Compliance Solutions page for Investment Advisors

 

Investment Advisors’ Compliance Technology Integration

Our services cover compliance aspects concerning the integration of technology for risk and compliance e-management, transactional reporting (where applicable), usage of AI, technology outsourcing, and compliance aspects of third-party risk management for investment advisors, including:

• Needs Assessment
• Compliance Technology Selection: Based on your budget, products, available operational and technical resources, and the applicable investment advisors' compliance obligations
• Implementation assistance across the organization
• Streamlining operational workflows: For routine compliance tasks like data collection, reporting, and risk assessments
• AML/CFT Compliance Technology: Covering customer digital onboarding, E-KYC, PEP and sanctions screening, transaction monitoring, etc.
• Integration of investment advisors' compliance obligations into an effective CRM system
• Record-Keeping Obligations: Helping you choose and integrate the necessary tools to comply with the record-keeping requirements under various laws and investment advisors' regulations

 

Data Management and Information Privacy Solutions

• Data Governance and Compliance:  Assisting investment advisors in establishing robust data governance procedures, programs, and protocols that align data collection, storage, and usage practices with relevant data privacy regulations, such as GDPR, CCPA, and other applicable laws. These measures safeguard sensitive client and business information from unauthorized access, breaches, and misuse.
• Privacy Policy Compliance Monitoring: Helping you implement privacy policies that reflect the latest data protection legislation, supported by continuous compliance monitoring tools to maintain the highest data privacy standards.
• Record Maintenance Protocols:  We assist in developing and implementing effective procedures for maintaining necessary records, covering investment advisors' compliance with applicable regulatory reporting standards and reporting requirements.
• Record Availability and Inspection Readiness:  Investment advisors' regulations often require records to be readily available for inspection by regulators, AML/CFT supervisors, tax agencies, and other relevant authorities. This extends to information kept by your outsourced service providers. We help you organize your record-keeping processes to meet these needs.

 

ISO Standards and Investment Advisors’ Compliance

• Cross-Reference Mapping: Integrating ISO standards such as ISO 27001, ISO 9001, and ISO 22301 into an existing compliance framework and linking specific sections of ISO standards to corresponding procedures in your internal policies and procedures.
• Pre-Audit Preparation: Coordinating ISO controls testing across different parts of the business.
• Leading evidence collection across the different departments to cover relevant compliance areas such as planning, governance, organizational controls, operational controls, technological controls, and physical controls through structured workflows.
• Digital Compliance Repository: Helping you utilize a centralized digital repository for storing all compliance-related documents and evidence, making it easily accessible for audit purposes and compliance verification.
• ISO Audit Liaison:  Acting as a liaison between your team and the auditors, coordinating information requests, and ensuring all the necessary documentation is readily available.
• Post-Audit Remediation Management: We can lead the implementation of your remediation plan and support corrective actions to address all audit findings effectively.

 

Regulatory Change Management Solutions

Empower Your Business with Proactive Regulatory Change Management:

• Stay Ahead of the Curve:  We actively monitor regulatory updates from global financial regulators like MAS, ASIC, FMA, FCA, SEC, and other regulators for investment advisors' compliance changes and updates to evaluate the implications of regulatory changes.
• Impact Assessment and Mitigation Strategies: We analyze the potential impact of regulatory changes on investment advisors' compliance management frameworks and operational processes. We then collaborate with you to develop effective mitigation strategies that support continued compliance and minimize disruption.
• Seamless Implementation and Change Management:  We guide investment advisors through necessary process adjustments, update internal policies and procedures, facilitate a smooth transition through regulatory changes, and assist with effective communication with impacted stakeholders.