N.J. Admin. Code § 13:47A-3A.1

Current through Register Vol. 56, No. 24, December 18, 2024

Section 13:47A-3A.1 - Registration of investment adviser representatives

(a) Subject to the provisions of Section 203A of the Investment Advisers Act of 1940 (15 U.S.C. § 80b-3a), any person, who has a place of business located in this State, who desires to act in the State of New Jersey as an investment adviser representative of an investment adviser registered in New Jersey with the Bureau or registered with the Securities and Exchange Commission, and any person doing business In this State who desires to act In the State of New Jersey as an investment adviser representative of an investment adviser registered in New Jersey with the Bureau, shall file an application with an original signature, with the Bureau on the Uniform Application for Securities Industry Registration or Transfer, Form U4, as set forth at N.J.A.C. 13:47A-11.3, and a consent to service of process executed by the applicant. A fully executed Domestic Investment Adviser Execution Page of the Form ADV, Uniform Application for Investment Adviser Registration, will satisfy the consent to service of process requirement. The Form U4 may be filed with the Bureau by filing the Form U4 electronically with the CRD and designating in the Form U4 that the applicant intends to apply for registration in New Jersey. For a Form U4 filed electronically with the Bureau through the CRD, such Form U4 shall have the requisite electronic signatures as required by the CRD. An application shall be accompanied by:

1. The applicant's fingerprints and written consent for a criminal history record background check to be performed pursuant to N.J.S.A. 49:3-56(p). (Applicants currently registered as an agent of a broker-dealer through the CRD need not supply fingerprints directly to the Bureau if they have been supplied to FINRA as part of the applicant's agent filing with the CRD.); and

2. A fee of $ 210.00 shall be assessed for each initial application. The fee may be paid to the Bureau electronically through the CRD, or It may be paid by check or money order made payable to the State of New Jersey, Bureau of Securities, If the application was filed directly with the Bureau. In accordance with N.J.S.A. 49:3-58.a(2)(i), an application is incomplete unless and until the applicant pays the registration fee as provided above within the billing time limits established by the Bureau or by the CRD.

(b) Pursuant to N.J.S.A. 49:3-57.a, the Bureau Chief may require that any applicant provide any of the following information, upon request:

1. An investment adviser representative narrative which includes the facts and circumstances surrounding any item reported to the Bureau;

2. Copies of the investment adviser representative's complaint file containing documentation of verbal customer complaints, the written customer complaints, or legally prepared complaints, as it exists from either the current or previous employers;

3. Copies of arbitration documents, including but not limited to, the statement of claim, answer, award, exhibits, and settlement documents;

4. Copies of arrest reports, indictments, police reports, judgments, sentence documents, and criminal charge documents;

5. Any and all documents pertaining to civil or regulatory actions, including but not limited to, pleadings, complaints, orders, Acceptance Waivers and Consents (AWC), and judgments;

6. Copies of State registration agreements;

7. An employer letter confirming investment adviser representative's physical location of office of employment;

8. An employer letter granting permission for outside business;

9. Fingerprint data processing pursuant to N.J.S.A. 49:3-56.p;

10. Written justification of qualifications for examination waiver processing;

11. An applicant's clearing firm trading records;

12. A fully executed Supervisory Agreement; or

13. Any additional documents or information, as needed.

(c) Upon request, the applicant may be required to participate in an in-person interview conducted by the Bureau in order to complete the application process. The applicant shall supplement the application filed with the CRD by filing any additional information requested directly with the Bureau. The 30-day time period for review of an application will not commence until the application is complete.

(d) At any time during the pendency of the application, the applicant may be subject to action by the Bureau Chief pursuant to N.J.S.A. 49:3-58. Nevertheless, the Bureau may notify the applicant of the incomplete status of the application by letter, which notification shall not affect any action taken by the Bureau Chief before or after the letter is issued. The issuance by the Bureau of a notification letter may allow the applicant to supplement or amend the information previously submitted in an attempt to cure the incomplete status of the application, or to withdraw the application, within 21 days after receipt of the notification letter.

1. If, during the pendency of the application, it appears to the Bureau that the application contains a misrepresentation, omits a required document or material fact, or contains any statement which may be, at the time and in the light of the circumstances under which it is made, false or misleading in any material respect, the Bureau Chief may deny the application.

(e) The Bureau may require an investment adviser representative to enter into an agreement requiring heightened supervision and other restrictive conditions as a condition of granting that investment adviser representative's application for registration.

(f) Registration shall be effective from the date of effectiveness until the following December 31.

N.J. Admin. Code § 13:47A-3A.1

Amended by 47 N.J.R. 2155(a), effective 8/17/2015

Amended by 51 N.J.R. 1467(a), effective 9/16/2019

Amended by 56 N.J.R. 1876(a), effective 9/16/2024

Amended by 56 N.J.R. 1986(a), effective 10/7/2024