Form ADV is the document at the center of an investment adviser's regulatory existence. It is how a firm registers, how it discloses who it is and how it operates, and, updated annually, how it keeps regulators and clients informed. Understanding its parts is understanding the shape of adviser compliance.
Part 1 is the structured, check-the-box filing about the firm: its owners, assets under management, business practices, affiliations, and any disciplinary history. It is filed electronically and is largely for the regulators. Accuracy here is not optional; misstatements in Part 1 are exactly what an examiner cross-checks against reality.
Part 2 is the firm brochure, written in plain English for clients. It describes services, fees, conflicts of interest, disciplinary events, and how the firm handles client assets. This is the part examiners read most closely, because it is where a firm either discloses its conflicts honestly or quietly understates them. A vague or self-flattering brochure is a common source of findings.
Part 3, the client relationship summary or Form CRS, is a short standardized document giving retail clients a quick snapshot of the relationship, fees, and conflicts. Together the three parts are meant to leave no honest question about who the adviser is unanswered. Keeping them current and consistent with actual practice is ongoing work, not a one-time filing.
Register, disclose, and keep it true.
Greenridge L&C Advisors is a compliance consultancy, not a law firm. This is general information, not legal advice.