California Corporations Code

§ 25234

CORP § 25234 Effective Jan 1, 1998Div. 1 · Title 4 · Part 3 · Ch. 3

Statute text

(a)No investment adviser licensed under this chapter shall in this state enter into, extend or renew any investment advisory contract, or in any way perform any investment advisory contract entered into, extended or renewed on or after the effective date of this law, if that contract:

(1)Provides for compensation to the investment adviser on the basis of a share of capital gains upon or capital appreciation of the funds or any portion of the funds of the client, except as may be permitted by rule or order of the commissioner;

(2)Fails to provide, in substance, that no assignment of the contract shall be made by the investment adviser without the consent of the other party to the contract;

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Legislative history

Amended by Stats. 1997, Ch. 391, Sec. 24. Effective January 1, 1998.