May 28, 1991
TO: INVESTMENT ADVISER ASSOCIATE MEMBERS NO. 20-91
INVESTMENT ADVISER MEMBERS NO. 19-91
RE: RECENT STATE ADVISER RULE CHANGES IN MAINE AND TENNESSEE
__________________________________________________________
Several states have recently amended their investment
adviser registration regulations. The following highlights the
changes which concern examination requirements and license
renewal in Maine and general registration requirements in
Tennessee.
Maine
Effective May 1, 1991, the Maine Department of Professional
and Financial Regulation requires all licensed investment advis-
ers to pass (1) either the Series 65, Uniform Investment Adviser
Law Examination, or the Series 63, Uniform Securities Agent State
Law Examination, and (2) the Series 7, General Securities Regis-
tered Representative Examination, the Series 2, General
Securities Representative (NASD Non-Member) Examination, or the
Series 6, Investment Company/Variable Annuity Contracts Products
Representative Examination (the last option is available only to
individuals who passed the Series 6 prior to May 1, 1991).
The state had proposed requiring investment advisers to
pass the Series 7 and Series 65 examinations. The Department's
final regulation is more flexible and reflects Institute
suggestions in this regard.
A copy of the regulations is attached. Included in the
regulations is a new licensing renewal form.
Tennessee
The Tennessee Securities Division recently released final
rules regarding investment adviser registration. The final rules
contain a requirement that every investment adviser registered in
the state maintain a minimum net capital of $15,000. The rules
were first proposed early in 1989. At that time, the Division
had proposed a $25,000 minimum net capital requirement to which
the Institute strongly objected.
A copy of the final rules is attached. We will keep you
informed of developments.
W. Richard Mason
Assistant Counsel
WRM:tmb
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