What Is Regulatory Assets Under Management (RAUM)?

RAUM has its own calculation rules: it includes all securities portfolios for which the adviser provides continuous and regular supervisory or management services, calculated on a gross basis (before deducting outstanding debt or other liabilities), and calculated within 90 days of the Form ADV filing. This differs from how some firms present AUM elsewhere — for instance, some client-facing materials show net asset values or exclude certain account types that RAUM rules require to be included.

RAUM is the figure that determines whether a firm registers with the SEC or with a state, since the ~$100 million registration threshold is based specifically on RAUM, not on however a firm might otherwise define its assets under management.