Patchwork Of Broker Conduct Regs Complicates Compliance
Ghillaine Reid and Kurt Wolfe wrote an article for Law360 titled, “ Patchwork Of Broker Conduct Regs Complicates Compliance.” The article focuses on the SEC’s recently adopted Regulation Best Interest, which requires broker-dealers to “act in their customers’ best interest when recommending investment strategies or securities transactions to their retail customers.” Reid and Wolfe discuss the patchwork of broker-dealer conduct standards that may emerge if states create their own broker-dealer conduct rules. They conclude that broker-dealers should “develop a framework to identify the most restrictive requirements” and “design their policies and procedures to comply with the most stringent mandates.”