The trade groups’ petition focuses attention on the particulars of a disclosure when a recommendation entails a conflict of interest.
The SEC and CFP Boards standards are a giant leap backwards. They violate commonsense and will further distance investors.
Industry groups are petitioning the SEC for a new rule that allows them to circumvent their fiduciary duty. Why?
The “conflicts virus” shares much in common with the coronavirus that embattles our country.
Regulators treated brokerage sales and fiduciary advice differently for years, stressing the harms and risks of conflicts of interest. Avoiding conflicts, if at all possible, was the norm. That was yesterday.
Conflicts of interest are a threat, but some regulators don’t seem to see the need to restrain them.