commodity trading advisor

[ChipH]

What is the name of your state? New Mexico / Illinois
I am in the process of forming a CTA, but will be moving from New Mexico to Chicago in May. I will have one or two clients initially, all in Illinois. Several questions... Would I be better off forming an LLC in Illinois now (even though my residence/home office is in New Mexico), or forming it in New Mexico, and moving it in May? Also, if I am registered as a CTA as required with NFA/CFTC, do I still have to register and pay fees to the licensing boards of the individual states as an investment advisor with each state where I may have only one or two clients?
Thanks!

 

[Jeter]

You don't need to form your LLC in Illinois. However, you must be licensed as an advisor in any given state, even to solicit business in that state. If you inherit 1 clent in a stae, you must be registered to do business. If you wish, you can test and obtain uniform state licensing which must be renewed yearly. This will cover you for clients you may take on in any state without having to register in each individual state.


Jeter

 

[ChipH]

blue sky

I know that in the securities industry, after taking the series 63, you are eligible for "blue sky" privileges, but still have to register with each state (at minimal cost, $25-30 each). Does the series 3 serve the same function in commodities, and if so, so I still need to register with each state as an "investment advisor?"
Thanks for the help!!!
Chip