Section 48-10-003 - RECORDKEEPING BY INVESTMENT ADVISERS WITH CUSTODY OF CLIENT SECURITIES OR FUNDSIn addition to the records required by Section 002, above, an investment adviser which has custody or possession of securities or funds of any client as that term is defined in 48 NAC 7.012.04B shall be required to make and keep the following records:
003.01 A copy of any and all documents executed by the client, including a limited power of attorney, under which the adviser is authorized or permitted to withdraw a client's funds or securities maintained with a custodian upon the adviser's instruction to the custodian.003.02 A journal or other record showing all purchases, sales, receipts and deliveries of securities, including certificate numbers, for all accounts and all other debits and credits to the accounts.003.03 A separate ledger account for each client showing all purchases, sales, receipts, and deliveries of securities, the date and price of each such purchase and sale, and all debits and credits.003.04 Copies of confirmations of all transactions effected by or for the account of any such client.003.05 A record for each security in which any client has an interest, showing the name of each client having any interest in that security, the amount or interest of each client, and the location of that security.003.06 A copy of each of the client's quarterly account statements, as generated and delivered by the qualified custodian. If the investment adviser also generates a statement that is delivered to the client, the investment adviser shall also maintain copies of such statements along with the date such statements were sent to the clients.003.07 If applicable to the investment adviser's situation, a copy of the special examination report verifying the completion of the examination by an independent certified public accountant and describing the nature and extent of the examination.003.08 A record of any finding by the independent certified public accountant of any material discrepancies found during the examination.003.09 If applicable, evidence of the client's designation of an independent representative.003.10 If an investment adviser has custody because it advises a pooled investment vehicle, as defined in 48 NAC 7.012.04B1c, the investment adviser shall also keep the following records: 003.10A True, accurate and current account statements;003.10B Where the adviser complies with 48 NAC 7.012.02D the records required to be made and kept shall include:003.10B1 The date(s) of the audit;003.10B2 A copy of the audited financial statements; and003.10B3 Evidence of the mailing of the audited financial statements to all limited partners, members or other beneficial owners within one hundred twenty days of the end of its fiscal year.48 Neb. Admin. Code, ch. 10, § 003
Amended effective 6/5/2017.Amended effective 11/27/2019Amended effective 6/13/2022