The Financial Planning Coalition has sent a the Securities and Exchange Commission, accompanied by a petition signed by more than 5,200 financial planners, urging the SEC to apply a uniform fiduciary standard to anyone providing personalized investment advice to retail clients.

The coalition includes the Financial Planning Association, the Certified Financial Planner Board of Standards, and the National Association of Personal Financial Advisors.

In its letter, the coalition urged the SEC to use its authority under Section 913 of the Dodd-Frank Wall Street Reform and Consumer Protection Act to establish a strong and uniform fiduciary standard of conduct for broker-dealers and investment advisers that is no less stringent than that under the Investment Advisers Act of 1940. The coalition also advocated for rulemaking that would establish this uniform fiduciary standard.  

“We are deeply concerned that current regulations governing the delivery of personalized investment advice are insufficient to protect investors,” the coalition wrote in its letter to the SEC, which was also sent to members of Congress.

“The Financial Planning Coalition and thousands of financial planners across the nation believe that those who provide personalized investment advice to retail clients should be held to a fiduciary standard,” stated the letter. “Requiring advisors to act in their clients’ best interests should help restore the confidence of millions of American investors in the securities markets and facilitate the needed return to the markets as the economy continues to recover.”

The coalition’s petition urged the SEC to move forward with its rulemaking in this area.

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