Investment Advisory Agreement Template

What Is the Investment Advisory Agreement?

An Investment Advisory Agreement establishes the legal relationship between a registered investment advisor and a client. It defines the scope of advisory services, fee arrangements, discretionary authority, and compliance with the Investment Advisers Act of 1940. This agreement protects both advisor and client by documenting investment objectives, risk tolerance, performance expectations, and fiduciary responsibilities.

RIAs need this agreement to operate legally. Without proper documentation, you risk regulatory violations, E&O claims, and fee disputes. This template addresses discretionary vs. non-discretionary management, custody arrangements, conflict disclosures, proxy voting authority, and termination rights—every component SEC examiners look for during audits.

 

 

Is This Investment Advisory Agreement Right for You?

You need this agreement if you're:

• An SEC or state-registered investment advisor
• Managing client assets with discretionary authority
• Providing non-discretionary investment recommendations
• Offering investment consulting services for a fee
• Transitioning from broker-dealer to RIA model
• Starting a fee-only advisory practice

You definitely need this agreement if:

• You're accepting new advisory clients without signed agreements
• Your current agreement lacks Form ADV integration
• You have no written fiduciary acknowledgment
• Your fee structure isn't clearly documented
• You're facing an SEC or state audit

 

 

Why Thousands Trust Legal GPS Templates

Save Money: Attorney-drafted advisory agreements cost $2,000-5,000. This template costs $35.

Save Time: Download instantly and customize in under an hour.

Look Professional: Traditional legal language courts and clients expect from registered advisors.

Keeps You Out of Court: Includes liability limitations, indemnification provisions, and arbitration clauses that shut down frivolous disputes before they escalate.

 

 

 

Get Protected in 3 Simple Steps

Step 1: Secure Checkout

Complete your purchase through our secure payment system. You'll receive instant confirmation.

Step 2: Instant Download

Access your Investment Advisory Agreement template immediately. No waiting, no delays.

Step 3: Fill In the Highlighted Fields

Follow the bracketed guidance to customize the agreement for your practice. Most advisors complete it in under an hour.

 

Frequently Asked Questions

Can I use this template multiple times?

Yes. Use it for every new client relationship without additional fees.

Is this contract legally binding?

Yes. This agreement creates an enforceable contract between you and your client when properly executed.

Does this template comply with SEC requirements?

Yes. It includes all required disclosures, Form ADV integration, fiduciary acknowledgments, and custody provisions that SEC examiners expect to see.

What if my state has additional RIA requirements?

The template meets federal standards under the Investment Advisers Act of 1940. Some states impose additional requirements for state-registered advisors. Consult your state securities regulator or compliance consultant for state-specific addendums.

Can I modify the fee structure in this agreement?

Yes. The template includes multiple fee structure options including asset-based fees, tiered fees, flat fees, and hourly rates. Choose the model that fits your practice.

Does this cover both discretionary and non-discretionary relationships?

Yes. The template provides clear options for discretionary management, non-discretionary management, and consulting-only arrangements.