Maryland, Mississippi and Vermont adopted continuing education requirements for investment adviser representatives based on the North American Securities Administrators Association ("NASAA") Model Rule.
NASAA stated that these states were the first to require "state-registered and federal covered investment adviser representatives to complete annual continuing education requirements for calendar year 2022."
As previously covered, the Model Rule, adopted by NASAA in November 2020, 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.
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 pursuant to Model Rule 2002-411(h)("post registration requirements"). NASAA last updated FAQs on the rule in October, 2021.
NASAA urged other states to follow suit.
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