The full House approved on Wednesday House Financial Services Committee Chairwoman Maxine Waters’ amendment to block the Securities and Exchange Commission from enforcing Regulation Best Interest.
The House voted 227-200 to pass Waters’ amendment along with a package of other changes to HR 3351, the Financial Services and General Government Appropriations Act. The provision would prevent the SEC from proceeding to implement, administer, enforce or publicize Reg BI.
The Insured Retirement Institute said after the vote that it was “disappointed.”
“Congress should allow the implementation of Reg BI to move forward and it should be given time to work,” it said in a statement. “This newly adopted rule raises the standard of conduct for financial professionals, expressly requiring them to act in their clients’ best interest.”
Waters’ amendment likely faces a tough road in the Senate, however.