As RIA compliance consultants, we often hear from registered investment adviser (RIA) firms looking for guidance on how to approach Twitter and other social media channels, such as LinkedIn and Facebook, from a marketing and compliance perspective. Our firm just surpassed 5,000 @riainabox followers on Twitter, and our new infographic is a good beginner’s guide for RIA firms thinking about establishing a Twitter account or even for firms looking to improve their existing social media accounts.
Before an RIA firm starts on Twitter, the firm should consider the following:
- It’s a great tool to stay on top of the latest RIA industry news and events
- Be sure to utilize Twitter as part of a broader online content strategy
- Don’t expect to immediately land new clients
- Building a social media presence takes time
- Use it to establish a more professional online presence
As RIA compliance consultants, we are happy to further discuss a registered investment adviser (RIA) firm’s compliance responsibilities in regards to Twitter and other social media channels. Investment advisory firms are by no means prohibited from utilizing social media but the Chief Compliance Officer (CCO) of the firm needs to ensure the proper policies and systems are in place to implement social media marketing in a compliant manner. When using social media, RIA firms need to remember the following key compliance tips:
- Treat all social media posts just like any other form of advertising.
- Remember to properly archive all social media posts.
- Never be false or misleading or advertise something is free unless it truly is free.
- Never post client testimonials.
- Be careful not to share any sensitive personal details that could lead to cybersecurity issues.