A proposal from SEC (the Securities and Exchange Commission) would require brokers to put clients’ financial interests ahead of their own; require brokers to mitigate financial conflicts; and prevent brokers from describing themselves as "adviser" or "advisor". An overview of the proposals was published on 18 April by the Securities and Exchange Commission Chairman Jay Clayton, who said the regulator aims to enhance retail investor protection and decision making, preserve a variety of investment products and raise investor awareness. The the Securities and Exchange Commission voted 4-1 to release the proposal. However, the commissioners who voted in favour of it acknowledged the plan needs more work.
A proposal from the Securities and Exchange Commission (SEC) would require brokers to put clients’ financial interests ahead of their own; require brokers to mitigate financial conflicts; and prevent brokers from describing themselves as "adviser" or "advisor". An overview of the proposals was published on 18 April by SEC Chairman Jay Clayton, who said the regulator aims to enhance retail investor protection and decision making, preserve a variety of investment products and raise investor awareness. The SEC voted 4-1 to release the proposal. However, the commissioners who voted in favour of it acknowledged the plan needs more work.