Best Investors
Account
Sign in
Best Investors
Account
Sign in
Form ADV Part 1A Item 9A(1)(a) · Answer type: yn · Item 9A - Custody
Item 9A(1)(a) asks whether the adviser or a related person has custody of client cash or bank accounts. Custody is defined by the applicable Form ADV instructions and custody rules.
Custody of cash or bank accounts goes beyond simply recommending where clients should bank. It means the adviser can actually access, move, or control client cash through account authority, check-writing privileges, direct debiting arrangements, or other mechanisms that give them power over cash assets.
SEC custody rules are designed to protect client assets by requiring specific safeguards when advisers have access to or control over client funds. Even arrangements that might seem routine, like automatic fee debiting or having signatory authority on client accounts, can constitute custody under SEC definitions.
Examples of arrangements that can fall within the custody definition include authority to withdraw funds, signatory authority, and some fee-deduction arrangements. The applicable Form ADV instructions and custody rules determine whether a specific arrangement counts.
Yes
The firm reports custody of client cash or bank accounts under this item. Review the remaining Item 9 answers to see which custody arrangements and safeguards the firm reports.
No
The firm reports No and does not report custody of client cash or bank accounts under 9A(1)(a). This answer does not describe every authority or service the firm may have.
9A(1)(a) - Cash or bank accounts (Yes / No).
This checkbox is part of Item 9A, which reports custody arrangements.
Custody means the firm or a related person reports authority covered by the regulatory definition. A Yes answer makes the other Item 9 fields important because they describe the reported scope and related procedures.
The safeguards that apply depend on the custody arrangement and any applicable exception. The 9A(1)(a) checkbox alone does not establish that a surprise examination or any other specific procedure applies.
A Yes does not identify the authority that creates custody, the qualified custodian, the amount of cash covered, or the procedures that apply. Those facts must come from the other Item 9 answers and the firm's account documents.
Yes
Review the remaining Item 9 rows for the reported custody amount, affected client count, custody basis, and compliance procedures. Then compare those answers with the custodian and withdrawal authority named in the account agreement.
No
Review 9A(1)(b) for reported custody of client securities and the remaining Item 9 rows for other custody information. Treat the No as the firm's answer to this cash field only.