More On Legal & Compliancefrom The Advisor's Professional Library
- The Custody Rule and its Ramifications When an RIA takes custody of a clients funds or securities, risk to that individual increases dramatically. Rule 206(4)-2 under the Investment Advisers Act (better known as the Custody Rule), was passed to protect clients from unscrupulous investors.
- Agency and Principal Transactions In passing Section 206(3) of the Investment Advisers Act, Congress recognized that principal and agency transactions can be harmful to clients. Such transactions create the opportunity for RIAs to engage in self-dealing.
Financial services reform remains at the top of the agenda. Read Melanie Waddell's news story , and bloggers Mike Patton and Bob Clark's reactions. To view video of Treasury Secretary Geithner's Senate testimony on Obama's proposal to "modernize the financial regulatory system," click here .The Obama White Paper itself is here.
Healthcare reform hit center stage last week with the Senate Health, Education, Labor, and Pensions committee holding hearings on the Affordable Health Choices Act. On June 22, the Senate Banking, Housing, and Urban Affairs Subcommittee on Securities, Insurance and Investment will welcome Mary Schapiro and Gary Gensler of the CFTC to examine oversight of OTC derivatives.