A Participation Agreement must be in place between the investment advisory firm and the insurance company. A Participation Agreement (PA) allows the advisor to manage the insurance private placement assets. Each investment advisory firm will require one Participation Agreement at the firm level only, which will enable the appropriate investment professionals within the firm manage the private placement assets. A principal of the firm is required to sign on behalf of the firm. The Participation Agreement covers the following topics: appointment, confidentiality, account assets, term and termination, investment guidelines and objectives, custody of account assets, powers and duties of the investment advisor, fees and expenses, withdrawals. Investment Advisors should add (Insurance Companies) to their ADV, item 5D1L.