Early reports suggest the industry is unsure about the
Securities and Exchange Commission’s (SEC) latest
proposals for new legislation on a standard of conduct for
investment advisers, which come with a request for public
comment in the next 90 days.
The proposals have been long expected, released amid growing
uncertainty that the Department of Labor’s (DoL)
fiduciary standard rule, which applies only to retirement
brokers, will be stricken from the records on the May 8.
Despite being readily anticipated, early responses have
reportedly not been positive overall. The SEC commissioners
themselves voted by a margin of 4-1 to release the proposals,
with Democrat Kara Stein - the dissenting vote - suggesting
that the suggestions did not go far enough or provide
comprehensive enough coverage or protection.
"The SEC's votes demonstrate a willingness to move forward
with a package of three important proposals - but the meeting
also underscored that these...