Overview
Steptoe partner Erica Gerson was quoted in an article in Investment News titled "All's Quiet on the Reg BI Front." The article, published July 14, discusses whether Gurbir Grewal, the Securities and Enforcement Commission’s (SEC) new enforcement director, will put teeth into Regulation Best Interest, the broker advice standard. The agency has been signaling an increase in Reg BI compliance than the "good faith" efforts it sought during the pandemic.
"They're interested in high-cost, complex products and situations where there is significant trading activity in accounts," Gerson says. "They’re looking at whether that activity is in the client's best interest and complies with the rule. Where there is investor harm, they will not shy away from enforcing Reg BI."
The full article can be read at Investment News.