Pursuant to a legislative requirement, GAO reviewed the Securities and Exchange Commission's (SEC) new rule on the implementation of amendments to the Investment Advisers Act of 1940 (Rule 203A-2). GAO noted that: (1) the final rule would exempt four types of advisers from the prohibition on SEC registration, which include: (a) certain pension consultants; (b) nationally recognized statistical rating organizations; (c) certain advisers affiliated with SEC-registered investment advisers; and (d) newly formed advisers that have a reasonable expectation of becoming eligible for SEC registration within 120 days; and (2) SEC compiled with applicable requirements in promulgating the rule.