Investment Research Corp

Includes form instructions and options. Options shown in this text do not identify which boxes were selected.

GENERAL INSTRUCTIONS
This Disclosure Reporting Page (DRP ADV) is an 
INITIAL OR
AMENDED response used to report details for affirmative responses to Items 11.C., 11.D.,
11.E., 11.F. or 11.G. of Form ADV.
Regulatory Action
Check item(s) being responded to:
11.C(1)
11.C(2)
11.C(3)
11.C(4)
11.C(5)
11.D(1)
11.D(2)
11.D(3)
11.D(4)
11.D(5)
11.E(1)
11.E(2)
11.E(3)
11.E(4)
11.F.
11.G.
Use a separate DRP for each event or proceeding . The same event or proceeding may be reported for more than one person or entity using one DRP. File
with a completed Execution Page. 
One event may result in more than one affirmative answer to Items 11.C., 11.D., 11.E., 11.F. or 11.G. Use only one DRP to report details related to the
same event. If an event gives rise to actions by more than one regulator, provide details for each action on a separate DRP.
PART I
A.  The person(s) or entity(ies) for whom this DRP is being filed is (are):
You (the advisory firm)
You and one or more of your advisory affiliates
One or more of your advisory affiliates
If this DRP is being filed for an advisory affiliate, give the full name of the advisory affiliate below (for individuals, Last name, First name, Middle name). 
If the advisory affiliate has a CRD number, provide that number. If not, indicate "non-registered" by checking the appropriate box.
ADV DRP - ADVISORY AFFILIATE
No Information Filed
This DRP should be removed from the ADV record because the advisory affiliate(s) is no longer associated with the adviser.
This DRP should be removed from the ADV record because: (1) the event or proceeding occurred more than ten years ago or (2) the adviser is
registered or applying for registration with the SEC or reporting as an exempt reporting adviser with the SEC and the event was resolved in the
adviser's or advisory affiliate's favor.
If you are registered or registering with a state securities authority , you may remove a DRP for an event you reported only in response to Item
11.D(4), and only if that event occurred more than ten years ago. If you are registered or registering with the SEC, you may remove a DRP for any

event listed in Item 11 that occurred more than ten years ago.
This DRP should be removed from the ADV record because it was filed in error, such as due to a clerical or data-entry mistake. Explain the
circumstances: 
B.
If the advisory affiliate is registered through the IARD system or CRD system, has the advisory affiliate submitted a DRP (with Form ADV, BD or U-4) to
the IARD or CRD for the event? If the answer is "Yes," no other information on this DRP must be provided.
 Yes
 No
NOTE: The completion of this form does not relieve the advisory affiliate of its obligation to update its IARD or CRD records.
PART II
1.  Regulatory Action initiated by:
SEC   
Other Federal   
State   
SRO
Foreign
(Full name of regulator, foreign financial regulatory authority, federal, state, or SRO) 
SECURITIES AND EXCHANGE COMMISSION
2.
Principal Sanction:
Cease and Desist
Other Sanctions: 
3.
Date Initiated (MM/DD/YYYY): 
03/11/2019
 Exact
 Explanation
If not exact, provide explanation:
4.
Docket/Case Number:
3-19060
5.
Advisory Affiliate Employing Firm when activity occurred which led to the regulatory action (if applicable):
6.
Principal Product Type:
Mutual Fund(s)
Other Product Types: 
7.
Describe the allegations related to this regulatory action (your response must fit within the space provided):
FAILING TO MAKE REQUIRED DISCLOSURES RELATING TO THEIR SELECTION OF MUTUAL FUND SHARE CLASSES THAT PAID THE ADVISERS (AS DUALLY
REGISTERED BROKER-DEALERS) OR THEIR RELATED ENTITIES OR INDIVIDUALS A FEE PURSUANT TO RULE 12B-1 OF THE INVESTMENT COMPANY ACT OF
1940 ("12(B)-1" FEE) WHEN A LOWER-COST SHARE CLASS FOR THE SAME FUND WAS AVAILABLE TO CLIENTS" AND ADEQUACY OF THE DISCLOSURES
ARISING FROM THE RESULTING CONFLICTS OF INTEREST.
8.
Current Status?      
 Pending
 On Appeal
 Final
9.
If on appeal, regulatory action appealed to (SEC, SRO, Federal or State Court) and Date Appeal Filed:
If Final or On Appeal, complete all items below. For Pending Actions, complete Item 13 only.
10. How was matter resolved:
Order
11. Resolution Date (MM/DD/YYYY):
03/11/2019
 Exact
 Explanation
If not exact, provide explanation:
12. Resolution Detail:
A.  Were any of the following Sanctions Ordered (check all appropriate items)?
 Monetary/Fine Amount: $
 Revocation/Expulsion/Denial
 Disgorgement/Restitution
 Censure
 Cease and Desist/Injunction
 Bar
 Suspension
B.
Other Sanctions Ordered:
Sanction detail: if suspended, enjoined or barred, provide duration including start date and capacities affected (General Securities Principal,

Financial Operations Principal, etc.). If requalification by exam/retraining was a condition of the sanction, provide length of time given to
requalify/retrain, type of exam required and whether condition has been satisfied. If disposition resulted in a fine, penalty, restitution,
disgorgement or monetary compensation, provide total amount, portion levied against you or an advisory affiliate, date paid and if any portion
of penalty was waived: 
IRC WAS ISSUED A CEASE AND DESIST ORDER BY THE SEC AND MADE CLIENTS WHOLE WHO WERE ADVERSELY AFFECTED BY SHARE CLASS
SELECTION WHEN A LOWER-COST SHARE CLASS FOR THE SAME FUND WAS AVAILABLE TO THE CLIENT. RESTITUTION WAS MADE TO 38 ACCOUNT
HOLDERS (SEVERAL OF WHICH HAD MULTIPLE ACCOUNTS WITHIN THE SAME HOUSEHOLD) IN AMOUNTS THAT TOTALED $33,188. RESTITUTIONS
WERE MADE IN MAY AND JUNE OF 2019 WITH ONE PAYMENT BEING MADE IN FEBRUARY OF 2020 (ONCE THE FORMER CLIENT HAD BEEN
LOCATED).
13. Provide a brief summary of details related to the action status and (or) disposition and include relevant terms, conditions and dates (your response
must fit within the space provided).
REGISTERED INVESTMENT ADVISERS ARE REQUIRED TO DISCLOSE ALL MATERIAL FACTS REGARDING ANY LEGAL OR DISCIPLINARY EVENTS THAT
WOULD BE MATERIAL TO YOUR EVALUATION OF THE FIRM OR THE INTEGRITY OF THE FIRM'S MANAGEMENT. LIKE MANY ADVISORY FIRMS, INVESTMENT
RESEARCH CORPORATION VOLUNTARILY PARTICIPATED IN THE SHARE CLASS SELECTION DISCLOSURE ("SCSD") INITIATIVE. THE SECURITY AND
EXCHANGE COMMISSION ("SEC") DESCRIBED THE SCSD INITIATIVE AS "A SELF-REPORTING PROGRAM DESIGNED TO ADDRESS POTENTIALLY
WIDESPREAD VIOLATIONS OF THE FEDERAL SECURITIES LAWS RESULTING FROM INVESTMENT ADVISERS FAILING TO MAKE REQUIRED DISCLOSURES
RELATING TO THEIR SELECTION OF MUTUAL FUND SHARE CLASSES THAT PAID THE ADVISERS (AS DUALLY REGISTERED BROKER-DEALERS) OR THEIR
RELATED ENTITIES OR INDIVIDUALS A FEE PURSUANT TO RULE 12B-1 OF THE INVESTMENT COMPANY ACT OF 1940 ("12(B)-1" FEE) WHEN A LOWER-
COST SHARE CLASS FOR THE SAME FUND WAS AVAILABLE TO CLIENTS" AND ADEQUACY OF THE DISCLOSURES ARISING FROM THE RESULTING
CONFLICTS OF INTEREST. A 12(B)-1 FEE IS AN ANNUAL MARKETING OR DISTRIBUTION FEE ON A MUTUAL FUND. THE 12B-1 FEE IS CONSIDERED TO BE
AN OPERATIONAL EXPENSE AND, AS SUCH, IS INCLUDED IN A FUND'S EXPENSE RATIO. IT IS GENERALLY BETWEEN 0.25% AND 0.75% (THE MAXIMUM
ALLOWED) OF A FUND'S NET ASSETS." IRC ALSO ENGAGED IN CERTAIN UNDERTAKINGS INCLUDING REVIEWING AND UPDATING, WHERE NECESSARY,
THE ADEQUACY OF ALL RELEVANT DISCLOSURE DOCUMENTS CONCERNING MUTUAL FUND SHARE CLASS SELECTION AND 12B-1 FEES; EVALUATING
WHETHER EXISTING CLIENTS SHOULD BE MOVED TO LOWER COST SHARE CLASSES; AS WELL AS REVIEWING ITS POLICIES AND PROCEDURES TO
ENSURE THEY ARE REASONABLY DESIGNED TO PREVENT VIOLATIONS OF THE ADVISERS ACT IN CONNECTION WITH DISCLOSURES REGARDING MUTUAL
FUND SHARE CLASS SELECTION. THE SCSD ORDER FOUND IRC WILLFULLY VIOLATED; 1) SECTION 206(2) OF THE ADVISERS ACT WHICH MAKES IT
UNLAWFUL FOR ANY INVESTMENT ADVISER, DIRECTLY OR INDIRECTLY TO "ENGAGE IN ANY TRANSACTION, PRACTICE OR COURSE OF BUSINESS WHICH
OPERATES AS A FRAUD OR DECEIT UPON ANY CLIENT OR PROSPECTIVE CLIENT," AND 2) SECTION 207 OF THE ADVISERS ACT WHICH MAKES IT
"UNLAWFUL FOR ANY PERSON WILLFULLY TO MAKE ANY UNTRUE STATEMENT OF A MATERIAL FACT IN ANY REGISTRATION APPLICATION OR REPORT
FILED WITH THE COMMISSION? OR WILLFULLY TO OMIT TO STATE IN ANY SUCH APPLICATION OR REPORT ANY MATERIAL FACT WHICH IS REQUIRED TO
BE STATED THEREIN." ADDITIONAL INFORMATION REGARDING THE SCDC INITIATIVE MAY BE FOUND AT
HTTPS://WWW.SEC.GOV/ENFORCE/ANNOUNCEMENT/SCSD-INITIATIVE