SEC Broker Rule Draws Industry Fire

Law360 (January 26, 2006, 12:00 AM EST) -- As the date draws near for the implementation of the Securities and Exchange Commission’s new regulation governing brokers, many players in the securities industry continue to fight against the rule, the SEC and each other.

Passed last April, the rule requires that brokers who provide financial planning through fee-based accounts register with the SEC and be regulated as investment advisors. But brokers that give advice that is “incidental” to their business are exempt from the rule.

Although the rule was intended to benefit the investment industry,...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.