Before breaking for recess until after the election, Congress passed early Saturday a continuing resolution that would nearly flat-line the Securities and Exchange Commission’s (SEC) budget, renewing advisory trade groups’ worries that a House bill calling for a self-regulatory organization (SRO) for advisors will be revived next year.
The House and Senate passed a six-month stopgap spending bill to keep agencies funded through the November elections into spring.
The Financial Planning Coalition—which includes the Financial Planning Association (FPA), National Association of Personal Financial Advisors (NAPFA) and the CFP Board—renewed its call Monday for Congress to support SEC oversight of advisors.
“When Congress convenes, we urge lawmakers to make certain the SEC can carry out and strengthen its monitoring of investment advisers,” the coalition said in a statement. “The SEC is the body most capable of conducting thorough, efficient investment oversight to protect consumers. This is necessary to increase public confidence that will help lead the nation’s economic recovery.”
While the resolution gives the SEC a boost of about $8 million over its FY2012 funding level of $1.321 billion, the SEC had requested $1.566 billion in FY2013, an increase of $245 million above the agency’s FY2012 appropriation. But sequestration threats could reduce the SEC’s budget further.