SEC Votes to Make Brokers & Investment Advisers Act in Best Interests of Clients

The Securities and Exchange Commission voted to finalize rules that require brokers and investment advisers to act in the best interest of their clients; “This rulemaking package will bring the legal requirements and mandated disclosures for broker-dealers and investment advisers in line with reasonable investor expectations,” explained SEC Chairman Jay Clayton according to Business Insider; the rules will force changes for brokers but they will still be allowed to charge trading commissions to clients; conflicts of interest will also have to be disclosed in addition to any potential fees a client might incur; there was one dissenting vote from Democrat Robert Jackson who said investor interests were not protected enough. Source.

Todd is the Chief Product Officer of LendIt Fintech.

He is the host of PitchIt: the fintech startups podcast, a weekly interview show featuring emerging fintech founders and leading venture capitalists.

He is responsible for leading the content team which covers fintech through daily & weekly email newsletters, editorial, virtual events, and in-person conferences.

He has been covering fintech, banking, and venture capital for more than 15 years, including speaking regularly at industry events.

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