Investment Advisors

We intimately understand a Registered Investment Advisor’s (RIA) business, and not just from a financial reporting perspective. We understand an RIA’s business as a whole, its clients, revenue cycles, product lines, compliance challenges and related entities — whether that includes an affiliate broker/dealer, trust company or fund (private investment partnership or public mutual funds).
 
While attest services such as audits, surprise custody exams and Global Investment Performance Standards (GIPS®) engagements are paramount to RIAs, so are tax-savings and business planning ideas. Our firm’s sizable Tax Department specializes in international tax services, state and local credits and incentives, estate and gift planning, and a variety of other areas impactful to RIAs.

Services

We offer the following range of services to RIAs:

  • Audit or financial statement preparation
  • Preparation or review of federal, state, and local income tax returns and Form K-1s
  • Consultation related to complex securities and derivative investments, various corporate actions, foreign investments and trader vs. investor status
  • Consultation regarding U.S. tax withholding and related filings
  • Consultation related to onshore & offshore fund structuring, effectively connected income, ERISA & UBTI
  • Tax preparation and planning related to fund general partners/managing members and advisors
  • Tax services for individuals
  • Surprise custody exams
  • GIPS® verifications and performance examinations

Below is more detail on our services.

Tax Services for Individuals

RIAs deal with complicated tax matters in the course of business, which ultimately affect their owners’ personal tax situation as well. We work with RIAs on their business tax issues and then leverage that knowledge to provide insightful ideas for owners’ personal tax matters. We assist with:

  • Individual federal and state income tax compliance
  • Family Limited Partnership, trust, and gift and estate tax planning and compliance
  • Industry-specialized income tax preparation related to active traders and owners of investment advisors or broker/dealers

Surprise Custody Exams

Certain investment advisors registered with the SEC and deemed to have custody of client assets are required to engage a CPA firm, registered with and subject to regular inspection by the PCAOB, for the purpose of conducting an annual surprise custody exam. But the advisory process begins with determining who falls under the scope of the custody rules. Part of our work with RIAs has been to assist them in determining if an exam is even necessary. Surprisingly, many RIAs that believe they are subject to the rules, in fact, are not.
 
For those that do require an exam, our firm can perform the audit efficiently, cost-effectively and with minimal disruption to your operations. As a PCAOB-registered firm subject to regular inspection, we have performed a significant number of custody exams or custody-related internal control reports as a result of the custody rule amendments. We also stay current on continuing developments with the SEC rules and have consulted with the SEC on a number of occasions for interpretations and advisor-specific issues.

GIPS®

The overwhelming majority of investment management firms are now Global Investment Performance Standards (GIPS®) compliant. Our GIPS® team combines expertise, individualized attention and cost-effective pricing to assist RIAs in remaining compliant. Currently, we are engaged to provide GIPS® verification and performance examination services for RIAs as well as accounting services for numerous mutual fund families. We assist with:

  • Pre-verification and compliance consulting
  • Assistance with composite membership guidelines and development of internal processes and procedures
  • GIPS® verifications, including verification statement
  • Performance examinations of specified composites