Section 26-B167. EXEMPTION/SUBSECTION FOR CERTAIN BROKER-DEALERS

 

167.1An investment adviser licensed as a broker-dealer pursuant to Section 15 of the Securities Exchange Act of 1934 shall be exempt from Section 201 of the Act (D.C. Offical Code § 31-5602.01; D.C. Register at 47 DCR 7845) in connection with any transaction in relation to which that broker-dealer acts as an investment adviser:

 

(a)Solely by means of publicly distributed written materials or publicly made oral statements;

 

(b)Solely by means of written material or oral statements not purporting to meet the objectives or needs of specific individuals or accounts;

 

(c)Solely through the issuance of statistical information containing no expressions of opinion as to the investment merits of a particular security; or

 

(d)Any combination of the foregoing services.

 

167.2This exemption shall apply only if the materials and oral statements disclose that, if the purchaser of the advisory communication uses the investment adviser's services in connection with the sale or purchase of a security which is a subject of the communication, the investment adviser may act as principal for its own account or as agent for another person. Compliance by the investment adviser with the disclosure requirement of this section shall not relieve it of any other disclosure obligations under the Act.

 

source

Final Rulemaking published at 40 DCR 6732 (September 24, 1993); as amended by Emergency Rulemaking published at 48 DCR 1987 (March 2, 2001) [EXPIRED]; as amended by Final Rulemaking published at 48 DCR 4106 (May 11, 2001).