SCOTTSDALE, Arizona (September 8, 2025) – The North American Securities Administrators Association (NASAA) today released its annual report on the state-registered investment adviser industry and the related regulatory activities of state securities regulators.
“This year’s report reflects the vital role state-registered investment advisers play in communities across the country. These firms are often small businesses deeply rooted in the neighborhoods they serve, and state securities regulators are committed to providing them with the tools and guidance they need to thrive while protecting investors,” said NASAA President Leslie Van Buskirk.
The 2024-2025 Investment Adviser Section Annual Report highlights the work done by the NASAA Investment Adviser Section and its project groups to provide tools for state and provincial securities regulators, along with important resources to help investment advisers better serve retail investors. The annual report also highlights data about both state and SEC-registered investment advisers across jurisdictions and investment adviser representatives.
State securities regulators have regulatory oversight responsibility for 16,575 investment advisers with assets under management of $100 million or less. States also have oversight of all investment adviser representatives, the financial professionals who work directly with retail investors, whether the adviser is registered with a state or with the SEC. State securities regulators play a crucial role in ensuring that the individuals that work with retail investors, regardless of their employer, have the background and credentials necessary to comply with the fiduciary standards owed to advisory clients.
Steve Brey, Chair of the Investment Adviser Section and Administrative Law Specialist, Michigan Corporations, Securities and Commercial Licensing Bureau, said the report also identifies enforcement actions involving investment advisers.
State securities regulators continued to resolve major deficiencies and violations of securities laws and rules uncovered during examinations in 2024. The most common causes of enforcement actions—whether litigated or settled short of hearing—included failure to register as an investment adviser or investment adviser representative, improper fee practices, fiduciary duty violations, and inadequate compliance policies and procedures. Other frequent issues involved failure to disclose conflicts of interest, fraud, violations of existing firm policies, improper handling of private placements, and concerns related to equities and custody.
“This annual report reflects NASAA’s continued commitment to supporting state-registered investment advisers and protecting retail investors through effective regulation, outreach, and enforcement. As the advisory landscape evolves, NASAA and its members remain focused on providing resources that promote compliance, transparency, and investor confidence,” said Brey.
The report is available on NASAA’s website here.
– NASAA–
About NASAA:
Organized in 1919, the North American Securities Administrators Association (NASAA) is the oldest international organization devoted to investor protection. NASAA is a voluntary association whose membership consists of the securities regulators in the 50 states, the District of Columbia, Puerto Rico, Guam, the U.S. Virgin Islands, the 13 provincial and territorial securities regulators in Canada, and the securities regulator in México. For more information, visit www.nasaa.org.
For More Information:
Fred Baldassaro, Director of Communications
fbaldassaro@nasaa.org | 202-737-0900
Karen Grajales, Manager, Communications and Investor Outreach
kgrajales@nasaa.org | 202-737-0900
