Laws & RegulationsPregunta 105 de 110

An adviser's obligation to protect clients' nonpublic personal information and provide a privacy notice arises principally from which requirement?

a.The custody rule's surprise examination
b.Privacy rules (such as Regulation S-P) governing the safeguarding of customer information
c.The performance-fee restriction
d.The brochure rule's 48-hour delivery standard

Explicación

Privacy rules, including Regulation S-P, require financial firms such as advisers to safeguard clients' nonpublic personal information and to provide privacy notices describing their information-sharing practices. This protects client confidentiality and limits improper disclosure to third parties. It is distinct from custody, performance-fee, and brochure-delivery requirements.

Referencia Legal: Investment Advisers Act of 1940

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