Which person is defined as a "Supervised" person in compliance terms?

The term "Supervised" person in compliance context specifically refers to individuals within an investment adviser firm that are subject to oversight and regulations designed to ensure that they adhere to compliance standards. This includes partners, directors, or employees of the adviser who perform duties that could impact the firm’s operations and its clients.

These supervised individuals have a critical role in maintaining the integrity of the adviser’s services and the trust of its clients. Regulation often mandates that supervised persons undergo training, regular compliance checks, and adherence to ethical guidelines, thereby ensuring that they function within the frameworks established by the firm and regulatory bodies.

On the other hand, individuals who merely have access to public information do not fit this definition as they are not under the adviser's control and do not have a direct obligation to the firm's compliance policies. Similarly, an individual advising clients without supervision is not governed by the same compliance requirements as a supervised person. Lastly, a client of the adviser does not fall under this category since they receive advice rather than providing it within a compliance framework. Thus, the definition of "supervised" directly aligns with the internal structure and responsibilities within an investment adviser firm, emphasizing the importance of oversight in maintaining compliance.