NASAA Adopts Model Continuing Education Rule for Advisers

The North American Securities Administrators Association ("NASAA") adopted a model rule for implementing a continuing education program for investment adviser representatives ("IARs").

As previously covered, the continuing education program is intended to:

• "ensure continued competency by IARs" and expand their knowledge base;

• maintain flexibility in IAR continuing education content;

• minimize (i) duplicative continuing education requirements, (ii) compliance burdens, and (iii) the cost to complete continuing education; and

• encourage uniformity among regulators and jurisdictions that implement IAR continuing education.

As set out in the Model Rule 2002-411(h), IARs would be required to complete six hours annually of continuing education with respect to each of (i) Ethics and Professional Responsibility and (ii) Products and Practice.