Form ADV explained: lookup, Parts 1 and 2, and disclosures

Investment advisers use Form ADV for registration and reporting with securities regulators. It combines structured information with narrative disclosures. An exempt reporting adviser also files portions of the form; finding an ADV does not, by itself, establish that the firm is an SEC-registered investment adviser.

For an industry reader, the useful question is specific: who is the firm, what does it disclose, and which dated records support a reported change? Start with the legal name and regulatory identifier in the linked record. Similar business names are not enough to combine two firms.

Use the SEC’s Investment Adviser Public Disclosure website, known as IAPD, to find the firm’s public record. Search for the legal name or CRD number, then check the name, location and registration status before opening its Form ADV and available brochures. A firm search and an individual adviser search answer different questions.

Save the document date with any figure you use. The latest-document link can later point to a newer filing, and an amendment’s filing date does not establish that every asset figure was recalculated on that day.

Part 1 records business, ownership, client and disciplinary information. Part 2A is the firm’s narrative brochure, covering matters such as services, fees and conflicts. Part 2B is a supplement about certain people who provide advice. Part 3, also called Form CRS, is a relationship summary for retail investors where required.

These documents answer different questions. A short relationship summary is an entry point, while a brochure gives more detail. Read the document relevant to the claim rather than treating all ADV parts as interchangeable.

Start with Item 4 for the advisory business and Item 5 for fees and compensation. Item 6 addresses performance-based fees and side-by-side management. Items 10 through 12 cover other financial activities, personal trading and brokerage practices. Read the relevant narrative to understand the arrangement the firm actually describes.

For a hypothetical brochure charging 1% annually on $500,000, the stated annual advisory fee would be $5,000 if that rate applies to the entire balance. Tiered rates, negotiated terms and other expenses can change the result; the brochure’s actual terms determine the calculation. This example is not a fee quote from a particular firm.

An exempt reporting adviser reports on Form ADV while relying on an exemption from SEC registration. The SEC’s instructions distinguish the venture capital fund adviser exemption from the exemption for advisers solely to private funds with assets under management in the United States of less than $150 million. The latter is not a general exemption for every small wealth adviser.

For an exempt reporting adviser that is not also registering with a state, the instructions require specified Part 1A items and corresponding schedules, rather than the entire registered-adviser filing. State registration or reporting requirements can still apply. Read Item 2 and the stated exemption before treating the existence of a filing as proof of SEC registration.

Schedules A and B identify direct and indirect ownership. Regulatory assets under management appear in Item 5.F. of Part 1A. Keep the reported metric separate from the firm’s own balance-sheet assets and from securities values disclosed on Form 13F.

A named owner is useful evidence of a disclosed relationship. It is not a substitute for an announcement establishing an acquisition agreement, closing date or transaction price. Match the identity in the filing to the entity discussed in the story before drawing a connection.

A new document in a checked filing window tells you that a document was observed. Establishing a substantive change requires the relevant earlier and later disclosures. A filing date, an amount’s measurement date and the day a newsroom observed the record can be different dates.

Suppose two records for the same firm report $500 million and $550 million in regulatory AUM. The supported comparison is a $50 million difference between those reported amounts. Calling it $50 million of new client money would require evidence the two figures do not provide.

RIA Signals links eligible reader-accessible records in its reporting. The firm desk follows disclosures and registration activity; the AUM desk pairs exact reported amounts. Each article supplies the scope and dates of its own evidence. This guide explains how to read those claims rather than replacing the underlying filing.