Section 230-RICR-50-05-2.13 - Adviser Custody Conditions - Federally ExemptA. An investment adviser licensed under RIUSA, but exempt from registration under the Investment Advisers Act of 1940, may take or retain custody of securities or funds of a client only while the investment adviser is in full compliance with SEC Rule 17 C.F.R. § 275.206(4)-2, and the provisions of the RIUSA and all relevant rules promulgated thereunder; the investment adviser must maintain a net worth of not less than $25,000.00 and have filed with the Director a surety bond in the amount set by order of the director with a minimum of $100,000 and a maximum or $1,000,000; and the investment adviser must insure that every investment adviser representative associated with the investment adviser has filed with the director a surety bond in the amount set by order of the Director with a minimum of $10,000 and a maximum of $100,000.230 R.I. Code R. 230-RICR-50-05-2.13
Amended effective 11/4/2024