SEC Chairman Wants to Know: ‘Have We Preserved Choice’ in Reg BI?
November 20, 2019 by Melanie Waddell
The Securities and Exchange Commission “really encourages engagement” as the agency implements Regulation Best Interest, the agency’s Chairman, Jay Clayton, said Tuesday.
“I want to know: Have we preserved choice?” Clayton said during a question-and-answer session at the Securities Industry and Financial Markets Association’s annual conference in Washington. “Choice in a way that provides investors the choice and protection that they deserve and expect?”
Clayton added that “from where we were two and a half year ago to where we are today, I’m extremely pleased. I think we have a set of rules that will really benefit investors, add transparency, add obligations and will benefit our markets. I’m pleased with the progress we made and I think it was long overdue.”
In the run-up to Reg BI, Clayton said, “it became very clear to me that a fee-for-service model is right for some people … and a transaction-based model is right for others.”