Under the NASAA Model Custody Rule, an investment adviser (IA) would be permitted to take or have custody of any securities or funds of any client if:
a) The IA provides regular statements to clients showing the securities or funds held by the IA.
b) The IA only takes custody of securities but not funds.
c) The IA is a newly established firm.
d) The IA does not disclose its custody practices to clients.
