Rock Star Financial ADV Part 2

Oh My! What the heck is this?

Want to get to know your investment adviser/financial planner?

Investment advisers provide a wide range of advisory services and play an important role in helping individuals and institutions make significant financial decisions. To allow clients and prospective clients to evaluate the risks associated with a particular investment adviser, its business practices, and its investment strategies, it is essential that clients and prospective clients have clear disclosure that they are likely to read and understand. The ADV Part 2 document is written in plain 'English'.

Securities and Exchange Commission

Why even the document name makes sense!

You can download our ADV Part 2 here.


Rock Star Financial is a Registered Investment Adviser (RIA) with the state of Texas that only transacts business in states where it is properly registered, or is excluded or exempted from registration requirements. Since our services include providing investment advice to clients, we are required to register with the state securities authorities. This registration requires our compliance with state and federal law that governs those (like us), RIAs.

Important Note: Registration of an Investment Adviser does not imply any level of skill or training.

The above is in-part the reasoning behind the Form ADV. Form ADV is the uniform form that investment advisers have to use to register with both the Securities & Exchange Commission (SEC) and state securities authorities. The letters A-D-V is short for adviser.

Known as a narrative brochure, Part 2 of the Form ADV contains information that is considered most relevant and important to clients.

Part 2 of the Form ADV is divided into 2 sub-parts: Part 2A & Part 2B.

Part 2A contains information about the Advisory firm as a whole. Items to be included in the investment adviser’s brochure addresses an investment adviser’s conflicts of interest with its clients and is the disclosure that an investment adviser, as a fiduciary, must make to clients. The required disclosures include the following:

  • Advisory business
  • Fees and compensation
  • Performance-based fees and side-by-side management
  • Methods of analysis, investment strategies, and risk of loss
  • Disciplinary information
  • Code of ethics, participation or interest in client transactions, and personal trading
  • Brokerage practices

Part 2B can be seen as information about the people who work for the firm. Referred to as the “brochure supplement,” Part 2B contains information about the educational background, business experience, and any disciplinary history of the specific individuals who provide advisory services to the client. It consists of six items including the following:

  • Educational background and business experience
  • Disciplinary information
  • Other business activities
  • Additional compensation
  • Supervision
  • Requirements for State Registered Advisers

You can download our ADV Part 2 here.