2025-12394Notice

SEC Extends Rule for Adviser Client Brochure Updates

Published Date: 7/2/2025

Notice

Summary

The SEC is extending the paperwork rules for investment advisers who must share updated brochures with their clients every year. This helps clients know what’s going on with their advisers and keeps things transparent. About 15,000 advisers spend around 4 hours yearly on this, so no big changes or extra costs are coming—just a smooth continuation of the current process.

Analyzed Economic Effects

2 provisions identified: 1 benefits, 1 costs, 0 mixed.

Advisers must keep annual brochure duty

If you run a registered investment advisory business, you must keep delivering a brochure to each client at the start of the advisory relationship and annually thereafter (or provide a summary of material changes). You must also send amended brochures or a statement when disciplinary information becomes materially inaccurate. The SEC estimates this keeps a burden of about 4.04 hours per adviser annually (median 95 clients) and, with 15,464 advisers as of March 31, 2024, a total annual burden of 62,525 hours.

Clients keep annual brochure transparency

If you are a client or prospective client of a registered investment adviser, you will continue to receive the adviser's brochure at the start of the relationship and each year (or a summary of material changes). These disclosures help you see adviser fees, conflicts, and disciplinary information, and they are provided directly to clients and prospective clients rather than filed confidentially with the SEC.

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Key Dates

Published Date
7/2/2025

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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