Glossary

Form CRS

Definition

Form CRS (Client Relationship Summary) is a short, standardized disclosure that brokers and investment advisers must give retail investors, summarizing their services, fees, conflicts, and disciplinary history in a few pages.

Introduced by the SEC in 2020, it forces both brokerages and advisory firms to answer the same questions in the same order, including whether the firm or its professionals have legal or disciplinary history — with a required prompt to visit Investor.gov/CRS for a free check.

Why it matters in practice

Form CRS exists because most investors do not know whether the person advising them is a broker, an adviser, or both, and the legal duties differ. Its "conversation starter" questions — how do you make money, what conflicts do you have, has anyone at the firm been disciplined — are reasonable things to ask any firm directly. Comparing two firms' CRS documents side by side is one of the fastest honest comparisons available.

Related terms: Form ADV · Fiduciary · Suitability · Registered Investment Adviser (RIA)

Glossary definitions are educational and general. They are not investment, legal or tax advice, individual circumstances vary, and simplified definitions necessarily omit edge cases. Figures, limits and rules cited change over time — confirm current rules before acting. Aduna Capital LLC is a California DFPI-registered investment adviser (CRD #311270). Aduna Capital LLC is not affiliated with, endorsed by, or sponsored by CalSavers, the California State Treasurer's Office, CalPERS, CalSTRS, or any other retirement system, employer or school district named on this page.