SEBI has issued a new circular for periodic reporting for RIAs. Yes, one more!
This has come immediately after the SEBI circular on setting up Research Analyst Administration and Supervision Body (RAASB) and Investment Adviser Administration and Supervisory Body (IAASB).
Earlier, BASL used to seek reports / information from RIAs on an ad-hoc basis. Now, all RIAs have to report the details in a standardised format.
My view is that with the setup of the IAASB, the supervision activities for investment advisers (RIAs) are only expected to increase.
Here is all you need to know about the periodic reporting by RIAs.
#1 – What is the periodicity of the reporting?
All RIAs need to submit the report to IAASB on a half-yearly basis.
#2 – When does the period reporting start?
The circular is already effective (from May 7, 2024). So, the first reporting is for the half year ended March 31, 2024.
The RIAs who registered after October 1, 2023, have to report the data for the period from the date of SEBI registration to March 31, 2024.
#3 – What is the due date for reporting?
SEBI has not clarified “working days”. My view is, the days when SEBI is operational will be considered as working days.
#4 – What are the details to be reported to IAASB?
The report seeks lots of information about the RIAs including :
- Details of social media accounts
- Details of advertisements issued
- Details of complaints
- Details of Clients, Assets under Advice (AUA) and Fees charged
#5 – Is there a format for the reporting?
Yes, SEBI has specified the format in the circular. Click here to download the format.
#6 – Does the report need to be signed?
There is nothing specific about the same in the circular about the format in which the report needs to be or whether the report needs to be signed.
———
The report format is self-explanatory.
Since this is a periodic report, you will be better off making changes to the records you keep, especially to the client register, to provide the data to SEBI on a timely basis.
If you have any questions about the report, please write to kruti@cskruti.com