Regulator: SEBI

2024. For Individual investment advisers or principal officer of a non- --- • NISM-Series-X-B: Investment Adviser (Level 2) Certification Examination, • NISM-Series-X-C: Investment Adviser Certification (Renewal) Examination, and • NISM-Series-III A: Securities Intermediaries Compliance (Non- Fund) Certification Examination (xii) Use of Artificial Intelligence (‘AI’) tools in IA services (a) In terms of Regulation 15(14) of the IA Regulations, an investment adviser who uses Artificial Intelligence tools, irrespective of the scale and scenario of adoption of such tools, for servicing its clients shall be solely responsible for the security, confidentiality, integrity of the client data, use of any other information or data to arrive at investment advice, investment advice based on output of Artificial Intelligence tools and compliance with any law for the time being in force. Further, in terms of Regulation 18(9) of the IA Regulations, an investment adviser shall disclose to the client the extent of use of Artificial Intelligence tools in providing investment advice. (b) Investment Adviser shall provide the disclosure of the extent of use of Artificial Intelligence tools by them in providing investment advice to their clients at the time of entering into the agreement and make such additional disclosure whenever required. (xiii) Maintenance of record (xiv) Audit (a) As per regulation 19(3) of the IA Regulations, IA shall conduct annual audit in respect of compliance with SEBI (Investment Advisers) Regulations, 2013 and circulars issued thereunder. (b) Annual compliance audit report shall specify each of the provisions of the IA Regulations and the circulars and guidelines issued thereunder upon which compliance is reported. (c) An IA shall - (i) complete the annual compliance audit within six months from the end of each financial year and submit a compliance audit report to IAASB/SEBI within a period of one month from the date of the audit report. (ii) submit adverse findings of audit, if any, along with action taken thereof duly approved by the individual IA or management of non-individual IA to IAASB/SEBI within a period of one month from the date of the audit report but not later than October 31st of each year for the previous financial year; and (iii) maintain on record an annual certificate from a member of ICAI/ ICSI/ ICMAI or from an auditor confirming compliance with client level segregation requirements. Such annual certificate shall be obtained within six months of the end of the financial year and form part of compliance audit, in terms of Regulation 19(3) of the IA Regulations. (d) IA shall publish the status of the compliance audit report on its website and shall also publish the adverse findings of audit, if any, along with the action taken thereof on their website. IA shall provide the compliance audit report to its clients. (e) IAs shall ensure compliance with the additional audit requirements under this clause starting with audit report for financial year ending March 31, 2025. (xv) Risk profiling and suitability for non-individual clients (xvi) Requirement of website 11 In terms of Regulation 19A of IA Regulations, an investment adviser shall maintain a functional website, which shall contain the details as may be specified by SEBI. (xvii) Display of details on website and in other communication channels 11 Existing IAs, as on January 8, 2025, shall confirm the details of its website to IAASB latest by June 30, 2025.

Question: What regulation number is cited regarding Investment Advisers?
Answer: Regulation 19A