What is a Registered Investment Advisor?

 

Advisory services offered though Virtue Capital Management, LLC, an SEC registered investment advisor.

 

The financial services industry is a rapidly changing professional environment. As the needs and desires of consumers change, firms engaged in managing money are also evolving. A registered investment advisor (RIA) such as Virtue Capital Management manages the assets of individuals. The RIA may register with the Securities and Exchange Commission (SEC) and any states in which it operates. Most RIAs are partnerships or corporations but individuals can also register as RIAs. RIAs are paid much like mutual fund managers, Virtue Capital Management and our family of investment advisor representatives earn their revenue through a management fee comprised of a percentage of assets held for a client.

 

The term investment advisor (IA) was first defined in the Investment Advisors Act of 1940, and the original definition is still upheld by the Securities and Exchange Commission (SEC):

 

An investment advisor is any individual or firm that engages in the business of advising clients, either directly or through publications or writings, as to the value of securities or as to the advisability of investing in, purchasing, or selling securities, or who, for compensation and as part of a regular business, issues analyses or reports concerning securities.

 

A registered investment advisor, or RIA, is an investment adviser who has registered either at the state level with their state’s Securities Commission or at the federal level with the United States Securities and Exchange Commission.