Investment adviser registration requirement and exemptions.
409.4-403. (a) It is unlawful for a person to transact business in thisstate as an investment adviser unless the person is registered under this actas an investment adviser or is exempt from registration as an investmentadviser under subsection (b).
(b) The following persons are exempt from the registration requirementof subsection (a):
(1) A person without a place of business in this state that isregistered under the securities act of the state in which the person has itsprincipal place of business if its only clients in this state are:
(A) Federal covered investment advisers, investment advisers registeredunder this act, or broker-dealers registered under this act;
(B) Institutional investors;
(C) Bona fide preexisting clients whose principal places of residenceare not in this state if the investment adviser is registered under thesecurities act of the state in which the clients maintain principal places ofresidence; or
(D) Any other client exempted by rule adopted or order issued under thisact;
(2) A person without a place of business in this state if the person hashad, during the preceding twelve months, not more than five clients that areresident in this state in addition to those specified under paragraph (1); or
(3) Any other person exempted by rule adopted or order issued under thisact.
(c) It is unlawful for an investment adviser, directly or indirectly, toemploy or associate with an individual to engage in an activity related toinvestment advice in this state if the registration of the individual issuspended or revoked or the individual is barred from employment orassociation with an investment adviser, federal covered investment adviser, orbroker-dealer by an order under this act, the Securities and ExchangeCommission, or a self-regulatory organization, unless the investment adviserdid not know, and in the exercise of reasonable care could not have known, ofthe suspension, revocation, or bar. Upon request from the investment adviserand for good cause, the commissioner, by order, may waive, in whole or inpart, the application of the prohibitions of this subsection to the investmentadviser.
(d) It is unlawful for an investment adviser to employ or associate withan individual required to be registered under this act as an investmentadviser representative who transacts business in this state on behalf of theinvestment adviser unless the individual is registered under section409.4-404(a) or is exempt from registration under section 409.4-404(b).
Investment adviser registration requirement and exemptions.
409.4-403. (a) It is unlawful for a person to transact business in thisstate as an investment adviser unless the person is registered under this actas an investment adviser or is exempt from registration as an investmentadviser under subsection (b).
(b) The following persons are exempt from the registration requirementof subsection (a):
(1) A person without a place of business in this state that isregistered under the securities act of the state in which the person has itsprincipal place of business if its only clients in this state are:
(A) Federal covered investment advisers, investment advisers registeredunder this act, or broker-dealers registered under this act;
(B) Institutional investors;
(C) Bona fide preexisting clients whose principal places of residenceare not in this state if the investment adviser is registered under thesecurities act of the state in which the clients maintain principal places ofresidence; or
(D) Any other client exempted by rule adopted or order issued under thisact;
(2) A person without a place of business in this state if the person hashad, during the preceding twelve months, not more than five clients that areresident in this state in addition to those specified under paragraph (1); or
(3) Any other person exempted by rule adopted or order issued under thisact.
(c) It is unlawful for an investment adviser, directly or indirectly, toemploy or associate with an individual to engage in an activity related toinvestment advice in this state if the registration of the individual issuspended or revoked or the individual is barred from employment orassociation with an investment adviser, federal covered investment adviser, orbroker-dealer by an order under this act, the Securities and ExchangeCommission, or a self-regulatory organization, unless the investment adviserdid not know, and in the exercise of reasonable care could not have known, ofthe suspension, revocation, or bar. Upon request from the investment adviserand for good cause, the commissioner, by order, may waive, in whole or inpart, the application of the prohibitions of this subsection to the investmentadviser.
(d) It is unlawful for an investment adviser to employ or associate withan individual required to be registered under this act as an investmentadviser representative who transacts business in this state on behalf of theinvestment adviser unless the individual is registered under section409.4-404(a) or is exempt from registration under section 409.4-404(b).
Investment adviser registration requirement and exemptions.
409.4-403. (a) It is unlawful for a person to transact business in thisstate as an investment adviser unless the person is registered under this actas an investment adviser or is exempt from registration as an investmentadviser under subsection (b).
(b) The following persons are exempt from the registration requirementof subsection (a):
(1) A person without a place of business in this state that isregistered under the securities act of the state in which the person has itsprincipal place of business if its only clients in this state are:
(A) Federal covered investment advisers, investment advisers registeredunder this act, or broker-dealers registered under this act;
(B) Institutional investors;
(C) Bona fide preexisting clients whose principal places of residenceare not in this state if the investment adviser is registered under thesecurities act of the state in which the clients maintain principal places ofresidence; or
(D) Any other client exempted by rule adopted or order issued under thisact;
(2) A person without a place of business in this state if the person hashad, during the preceding twelve months, not more than five clients that areresident in this state in addition to those specified under paragraph (1); or
(3) Any other person exempted by rule adopted or order issued under thisact.
(c) It is unlawful for an investment adviser, directly or indirectly, toemploy or associate with an individual to engage in an activity related toinvestment advice in this state if the registration of the individual issuspended or revoked or the individual is barred from employment orassociation with an investment adviser, federal covered investment adviser, orbroker-dealer by an order under this act, the Securities and ExchangeCommission, or a self-regulatory organization, unless the investment adviserdid not know, and in the exercise of reasonable care could not have known, ofthe suspension, revocation, or bar. Upon request from the investment adviserand for good cause, the commissioner, by order, may waive, in whole or inpart, the application of the prohibitions of this subsection to the investmentadviser.
(d) It is unlawful for an investment adviser to employ or associate withan individual required to be registered under this act as an investmentadviser representative who transacts business in this state on behalf of theinvestment adviser unless the individual is registered under section409.4-404(a) or is exempt from registration under section 409.4-404(b).
