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.
SEC staff to issue two “Risk Alerts” for further guidance.
Karen Barr and Knut Rostad take opposite sides of the timely debate on advisor advertisements with testimonials and endorsements.
There may be parts of the SEC’s 1961 advertising rule that deserve updating. The ban on testimonials and endorsements is not one of them.
The SEC is making financial information simpler. But it’s not yet simple enough.
The proposed Massachusetts Adviser Straight Talk Disclosure is a simple, direct and commonsense approach to informing adviser clients of key information. It can increase investor comprehension of fees and services.