08.13.24

RIAs Get Shy About Talking Up Performance

by: Alex Padalka

Nearly two years after the compliance deadline for the U.S. Securities and Exchange Commission's new marketing rule, registered investment advisory (RIA) firms have made a variety of changes in the way they calculate returns and present performance, according to a recent survey by CFA Institute and the Investment Adviser Association. About half of the 189 RIAs polled in March said they don't include contribution to return in their marketing materials, and about half don't include attribution effects. About 39% of respondents, meanwhile, simply don't present hypothetical performance, and among those that do, most do it only in response to unsolicited requests or on a one-on-one basis.

Read the full article on Financial Advisor IQ