The SEC is proposing major changes to the rules governing private markets to help young companies raise capital and to expand retail investor access to private markets. CFA Institute argues that the proposal would weaken investor protections and tip the balance yet further against public markets.
What impact does cost have on public pension fund performance?
The fact that firms are transitioning toward a registered investment advisory business model due to Reg BI cannot help but boost the standard for investment advice. Whether or not the advice of this cadre of newly minted investment advisers will be conflicted, as registered advisers they will be bound by a common law fiduciary duty that will lower the thresholds for investor claims on bad guidance. A positive step for investors.
These factors drive motivation: Mastery or Excellence/Continuous Improvement, Autonomy, and Purpose.
Congress, regulators, and enforcement officials at all levels must help ensure public confidence and trust in the financial industry. In short, prompt enforcement based on effective regulations that penalize and deter wrongdoing is critical.
In a nutshell, the new rule says fiduciaries cannot sacrifice returns to achieve some other objective, such as societal considerations or other nonfinancial concerns.
When it comes to the choice between active and passive, investors have at least three questions to consider.
Last week, US Securities and Exchange Commission (SEC) Chair Jay Clayton spoke on a webcast sponsored by FCLTGlobal. He discussed his views on environmental, social, and governance (ESG) disclosures and the SEC’s responsibilities to investors —… READ MORE ›
Is it statistically significant? Yes. Does it matter? Probably not.
The obligation to act honestly and with competence must be the core of every financial service.