§ 80b-18a. — State regulation of investment advisers.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 15USC80b-18a]
TITLE 15--COMMERCE AND TRADE
CHAPTER 2D--INVESTMENT COMPANIES AND ADVISERS
SUBCHAPTER II--INVESTMENT ADVISERS
Sec. 80b-18a. State regulation of investment advisers
(a) Jurisdiction of State regulators
Nothing in this subchapter shall affect the jurisdiction of the
securities commissioner (or any agency or officer performing like
functions) of any State over any security or any person insofar as it
does not conflict with the provisions of this subchapter or the rules
and regulations thereunder.
(b) Dual compliance purposes
No State may enforce any law or regulation that would require an
investment adviser to maintain any books or records in addition to those
required under the laws of the State in which it maintains its principal
place of business, if the investment adviser--
(1) is registered or licensed as such in the State in which it
maintains its principal place of business; and
(2) is in compliance with the applicable books and records
requirements of the State in which it maintains its principal place
of business.
(c) Limitation on capital and bond requirements
No State may enforce any law or regulation that would require an
investment adviser to maintain a higher minimum net capital or to post
any bond in addition to any that is required under the laws of the State
in which it maintains its principal place of business, if the investment
adviser--
(1) is registered or licensed as such in the State in which it
maintains its principal place of business; and
(2) is in compliance with the applicable net capital or bonding
requirements of the State in which it maintains its principal place
of business.
(d) National de minimis standard
No law of any State or political subdivision thereof requiring the
registration, licensing, or qualification as an investment adviser shall
require an investment adviser to register with the securities
commissioner of the State (or any agency or officer performing like
functions) or to comply with such law (other than any provision thereof
prohibiting fraudulent conduct) if the investment adviser--
(1) does not have a place of business located within the State;
and
(2) during the preceding 12-month period, has had fewer than 6
clients who are residents of that State.
(Aug. 22, 1940, ch. 686, title II, Sec. 222, as added Pub. L. 86-750,
Sec. 16, Sept. 13, 1960, 74 Stat. 888; amended Pub. L. 104-290, title
III, Sec. 304, Oct. 11, 1996, 110 Stat. 3438; Pub. L. 105-353, title
III, Sec. 301(d)(2), Nov. 3, 1998, 112 Stat. 3237.)
Amendments
1998--Subsec. (b)(2). Pub. L. 105-353 substituted ``principal'' for
``principle''.
1996--Pub. L. 104-290 substituted ``regulation'' for ``control'' in
section catchline and amended text generally, designating existing
provisions as subsec. (a), inserting heading, and adding subsecs. (b) to
(d).
Effective Date of 1996 Amendment
Amendment by Pub. L. 104-290 effective 270 days after Oct. 11, 1996,
see section 308(a) of Pub. L. 104-290, as amended, set out as a note
under section 80b-2 of this title.
