A Handy Checklist for RIA Audit or Examination Preparation

1. Administer a vigorous, adaptable, and well-documented compliance program:

A robust RIA compliance program is the foundation of audit readiness.

• Develop policies, procedures, and internal controls to meet SEC books and records and supervision requirements
• Implement regular reporting and compliance check-ins to monitor adherence to regulatory requirements and annual examination priorities
• Keep detailed records of compliance assessments, findings, and actions taken

2. Review previous audits or examinations and address known gaps:

Learn from previous SEC audits or regulatory examinations to strengthen your future audit readiness.

• Review findings from previous audits and examinations
• Close compliance gaps and create a plan to address areas of concern
• Document any changes to the compliance program since your last audit or examination

3. Assign your team clear roles and responsibilities:

Audit readiness is a team sport.

• Make sure team members involved in on-site or remote RIA audit or regulatory examination are trained to handle interviews and documentation requests
• Clearly document roles and responsibilities in your compliance manual
• Regularly assess staff knowledge and performance 

4. Schedule routine system reviews:

Know where your data lives before an auditor asks for it.

• Routinely review your compliance systems and infrastructure to ensure you can quickly access and export relevant records
• Customize your compliance reviews using a risk-based approach based on previous deficiencies or evolving business practices
• Establish a schedule for internal training and reviews to maintain ongoing compliance

5. Stay ahead of regulatory examination priorities:

Regulations evolve. So should your compliance strategy.

• Monitor industry trends and predictions for audits from your regulatory authority and news sources
• Update your policies and procedures to reflect new rules or changes in your business
• Document the steps taken to address regulatory changes and ensure compliance

Avoid audit anxiety with Smarsh Audit Assist

Preparing for an audit or examination is sometimes easier in theory than in practice, especially if your compliance team is already overwhelmed or understaffed. An unexpected audit quickly becomes a serious disruption if you need to pull staff away from projects or pay for expedited support from your compliance technology provider. That can lead to unexpected costs and put undue strain on your organization.

Look no further than Audit Assist, a service designed to give your organization peace of mind and confidence that you are prepared for your next audit. Audit Assist removes the burden of preparing for an audit by yourself and enables our experienced Data Services team to better serve your needs.

What is Audit Assist?

Audit Assist is a subscription service designed to ease the burden of audit preparation and data delivery.

With Audit Assist, you get:

If you undergo an audit or exam, having Audit Assist ensures you have access to:

• Expedited data export services
• Unlimited self-service data exports (no matter which package level is chosen)
• Templates, guides, and audit FAQs to help you prepare
• Access to expert help from our Data Services team

Upgrade to the Advanced package

For more complex audits, our Advanced package includes:

• Data exports with custom search parameters
• Web-based training via Smarsh University
• Additional professional services tailored to high-risk or high-volume audits

Be ready for your next SEC audit, without the stress

Preparing for an SEC audit doesn’t have to mean late nights and fire drills. With proactive planning and the right audit partner you can reduce costs, eliminate surprises, and ensure your organization stays compliant with confidence.