Investment Advisers Act of 1940

The Investment Advisers Act of 1940 is a U.S. federal law designed to regulate and supervise the activities of investment advisers. It mandates the registration of investment advisers with the Securities and Exchange Commission (SEC), and emphasizes transparency and ethical practices. The Act mandates investment advisers to act in their clients' best interests, uphold fiduciary duties, and ensure full and fair disclosure of material facts.