![]() ![]() In 2019, The Securities and Exchange Commission (SEC) enacted Regulation Best Interest. ![]() Meanwhile, under FINRA Rule 2111, brokers had to abide by a suitability standard, but that did not necessarily mean that an investment recommendation had to be in a customer’s best interests. Until recently, only registered investment advisers were required under the Investment Advisers Act of 1940 to make recommendations that were both suitable for an investor and in their best interests. They must only recommend investment products that are in a customer’s best interests.This includes not making misrepresentations and omissions when explaining these recommendations and apprising an investor of the risks. They must provide customers with the information they need to thoroughly understand an investment recommendation. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |