The SEC’s Division of Examinations has released a new Risk Alert detailing additional observations from recent exams focused on advisers’ compliance with the Advisers Act Marketing Rule (Rule 206(4)-1). The alert builds on prior guidance and underscores continued regulatory scrutiny of how advisers present themselves to clients and prospective investors, particularly through digital and third-party channels.
Who this impacts:
SEC-registered investment advisers that use websites, social media, pitchbooks, newsletters, performance presentations, testimonials, endorsements, or third-party ratings in their marketing efforts.
What the SEC is emphasizing:
Examination staff continue to identify issues related to:
• Required disclosures for testimonials and endorsements that are missing, unclear, or not “clear and prominent.”
• Insufficient documentation demonstrating a reasonable basis for believing marketing practices comply with the Rule
• Gaps in diligence, disclosures, and oversight of third-party ratings
• Incomplete or missing written agreements with promoters and endorsers
• Inconsistencies between written policies and actual marketing practices
Why this matters:
The SEC’s observations signal that Marketing Rule compliance remains an active and ongoing exam focus, not a transitional issue. As advisers increasingly rely on digital marketing, third-party content, and reputation-based promotion, firms are expected to demonstrate not only compliant disclosures, but also thoughtful governance, documentation, and supervisory controls.
How Compliance Risk Concepts (CRC) can help:
We support advisers by:
- Reviewing and enhancing Marketing Rule policies and procedures
- Testing existing advertisements and promotional materials against current exam expectations
- Strengthening documentation and recordkeeping frameworks
- Designing practical review and approval workflows for marketing content
- Delivering targeted training for advisory, marketing, and compliance teams
If you are assessing whether your marketing program aligns with current SEC exam priorities, this Risk Alert is a timely reference point and a notable focus area to start your 2026 compliance initiatives off on the right foot.