Broker-dealer best interests standard proposed at SIFMA event. In a speech at Securities Industry and Financial Markets Association’s (SIFMA) Department of Labor (DOL) Fiduciary Seminar, SIFMA president and CEO Kenneth E. Bentsen, Jr. announced the industry’s “Proposed Best Interests of the Customer Standard for Broker-Dealers.” He noted that this standard would apply across all investment recommendations made to individual retail customers in all brokerage accounts, and not solely to IRA accounts. (6/3/2015) SIFMA press release. See also Think Advisor.
State agencies and lawmakers pass crowdfunding laws and regulations.DealBook reported that 22 states and the District of Columba, tired of waiting for federal action, have passed equity crowdfunding rules, three more are awaiting the governor’s signature, and eleven more states are considering such laws and procedures. Many of the state rules have heavy restrictions limiting the amount of money that can be raised and limiting the source of the money to investors in their own states. (6/3/2015) Crowdfunding.
Senator Warren severely criticizes SEC leadership. Reuters reported that Senator Elizabeth Warren sent a letter to Securities and Exchange Commission Chair Mary Jo White criticizing inadequate enforcement and expressing concerns about regulatory waivers and executive pay rules. Chair White responded that Senator Warren’s mischaracterization “will not detract from the work we have done, and will continue to do, on behalf of investors.” (6/2/2015) Warren Criticism.
OSC requests members for MSAC. The Ontario Securities Commission (OSC) is inviting applications for membership on its Market Structure Advisory Committee (MSAC) which serves as a forum to discuss issues associated with market structure and marketplace operations. (6/4/2015) OSC press release.