A senior official at the Securities and Exchange Commission (SEC) said Monday that while he believed the securities regulator would issue a rule putting brokers under a fiduciary mandate this year, the agency would hold off on issuing one on the overall harmonization of advisor and broker rules.
Douglas Scheidt, associate director and chief counsel in the SEC's Office of Investment Management, said during a panel discussion at the Insured Retirement Institute's (IRI) regulatory conference in Washington, that while it is indeed likely that the SEC will act on the recommendations it put forth in its fiduciary study, which was mandated by Dodd-Frank, the devil will be in the details as to how such a proposed rule is crafted.
Scheidt's comments come only days after the Financial Planning Coalition sent a letter to the SEC, which was accompanied by a petition signed by more than 5,200 financial planners, urging the SEC to apply a fiduciary standard to anyone providing personalized investment advice to retail clients. The Coalition is comprised of the Financial Planning Association (FPA), the National Association of Personal Financial Advisors (NAPFA), and the Certified Financial Planner Board of Standards (CFP Board). Read more >
June 27, 2011