Insights

The SEC Gets Into the Best Interest Game


Much of the criticism leveled at the DOL's Fiduciary Rule was focused on the fact that it really isn't the Department of Labor's job to provide fiduciary standards for investment recommendations. In fact, it was frequently pointed out that this was the job of the SEC and that the SEC had fiduciary standards in place. Commentators suggested that if the SEC felt that a heightened standard was required, then the SEC should provide that standard, not the DOL.

It appears that the SEC heard those commentators and chose to act. On June 5, 2019, the SEC adopted the Regulation Best Interest Rule (Reg BI), which requires broker-dealers and associated persons to act in the best interest of their retail customers when making a recommendation. Reg BI became effective August 5, and compliance is required by June 30, 2020. Read a summary of the key provisions in Reg BI for more information.

Despite the protracted compliance deadline for Reg BI, Kestra is already taking steps to meet the requirements of Reg BI and to implement the required practices and procedures. Join Kestra October 17 and 18 for two webinars discussing of Reg BI and the steps they are taking to get ready for the full implementation of the regulation.


Date: Thursday, October 17
Time: 2:00 p.m. CT/3:00 p.m. ET
Dial-In: 1-888-633-9715
Conference ID: 2645978

Register Now

Date: Friday, October 18
Time: 10:00 a.m. CT/11:00 ET
Dial-In: 1-888-633-9715
Conference ID: 8681898

Register Now