Compare an adviser's AI marketing claims with the file
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- List each public sentence that says the adviser uses artificial intelligence, where it appears, and the internal description of the tool. Do not rewrite the website, the brochure or Form ADV.
- What the lawyer must review
- SEC press release 2024-36 reports settled charges against two investment advisers for false and misleading statements about their use of artificial intelligence. The release says the Marketing Rule prohibits a registered adviser from disseminating an advertisement that includes an untrue statement of a material fact, and it quotes the Commission's concern that public companies' AI claims can also be material. Section 206 of the Advisers Act, 15 U.S.C. § 80b-6, prohibits devices and courses of business that operate as a fraud on a client or prospective client. You decide whether each sentence is true of the system actually in use. Formal Opinion 512 does not make a marketing sentence true.
- Written for / version
- United States versionUS
Who does what
| Role | What they do |
|---|---|
| Assistance | Consider narrowly defined preparation support after confirming the tool’s capability and permitted scope. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Review operative clauses in the complete document, including definitions, cross-references, schedules and inconsistencies with the instructions.
- Obtain and inspect the relevant current official register or search result. Confirm identities, interests and the date and scope of the search.
- Confirm the output against the client’s instructions and the complete relevant source material, including omissions or contradictions.
- Resolve exceptions and record the responsible lawyer’s approval of the exact output and intended use.