How to read a Form ADV (and check an adviser)
Learning how to read a Form ADV starts in one place: the SEC's Investment Adviser Public Disclosure (IAPD) website, where the filing is free and public. A Form ADV is how an investment adviser registers and discloses its business, so reading it tells you what the adviser charges, how it makes money, its conflicts, and whether it has a disciplinary record. This guide walks through how to read a Form ADV and what to look at in each part. It is not investment advice, and reading a filing is not a recommendation to hire anyone.
Definition
Reading a Form ADV
means opening an adviser's registration filing on the SEC's IAPD website and checking what it discloses. Part 1 gives structured data on the business and any disciplinary history. Part 2 is a plain-English brochure on services, fees, and conflicts. Both are public and free. Source: SEC.
Where do you find a Form ADV?
Go to the SEC's Investment Adviser Public Disclosure (IAPD) website and search the adviser by name or CRD number. Note that Form ADV sits on IAPD, not on EDGAR, which is where company filings live. Open the most recent Form ADV to read the current picture.
What does Part 1 tell you?
Part 1 is structured data, useful for the facts of the business:
- Assets under management and the number and type of clients.
- Ownership and affiliations who controls the firm and what it is connected to.
- Disciplinary disclosures any reportable events involving the firm or its people.
What does the Part 2 brochure tell you?
Part 2 is the brochure, written in plain English, and is where the money questions are answered:
- Fees how the adviser is paid and how much.
- Conflicts of interest where the adviser's incentives may differ from a client's.
- Disciplinary history described in narrative form.
- The individuals Part 2B covers the people who would actually advise you.
What to note about dates
A Form ADV is a point-in-time filing.
90 days
How soon after fiscal year-end an adviser files its Form ADV annual updating amendment
Source: SEC
Because the annual updating amendment is due within 90 days of the adviser's fiscal year-end, check the filing date so you know how current the information is. An adviser large enough to register with the SEC often also files a 13F, which lists its US equity holdings, so you can read what a 13F filing is alongside the Form ADV to see both who the adviser is and what it holds.
The filing tells you what an adviser discloses. What you do with it is your call to make. Flock reads disclosure filings and keeps each one dated and linked back to its source.
Frequently asked questions
Where do I find an adviser's Form ADV?
On the SEC's Investment Adviser Public Disclosure (IAPD) website. Search the adviser's name or CRD number and open the current Form ADV. Part 1 and the Part 2 brochure are both there. Source: SEC.
What does Part 1 of Form ADV tell me?
Part 1 is structured data: the adviser's assets under management, number of clients, ownership, affiliations, and any disciplinary disclosures involving the firm or its people. Source: SEC.
What does the Part 2 brochure tell me?
The Part 2 brochure explains, in plain English, the adviser's services, fees, conflicts of interest, and disciplinary history. Part 2B covers the individuals who would advise you. Source: SEC.
How current is a Form ADV?
An adviser files an annual updating amendment within 90 days of its fiscal year-end, and amends promptly for certain material changes. Check the filing date so you know how current the information is. Source: SEC.
Flock tracks these filings, sourced, dated, and linked back to the original. See what smart-money entities disclosed, without the guesswork about what it means.
Disclosures shown are public regulatory filings. Data may be delayed or incomplete. Smart-money entities may no longer hold positions shown. Not investment advice.