Advisers can breathe a sigh of relief. The Investment Adviser Oversight Act of 2012 appears to be dead, at least in the current session of Congress.
House Financial Services Committee Chairman Spencer Bachus, R-Ala., has placed the bill on an indefinite hold, after failing to generate support for his plan to fund a new SRO to oversee investment advisers. This is good news for advisers who were wary of higher fees and the prospect of switching to FINRA oversight.
While Bachus will not push forward on his bill, he has indicated that he remains option to alternative proposals to boost adviser oversight. “Everyone agrees there is a serious problem,” Mr. Bachus told InvestmentNews. “Unfortunately, there is no consensus on how to fix it. No bill, including the bipartisan bill I offered, will move forward in the committee unless and until there is a consensus.”
While the SRO bill is off the table, lawmakers already have something else to consider. For more details, check back tomorrow.
Eckerle Law offers a highest-quality and cost-effective alternative to the traditional law firm model for a wide variety of transactional and regulatory matters serving all your business law needs. Our experienced attorneys also provide a full range of compliance services for investment advisers, offering compliance tools that are tailored to fit the ever changing regulatory landscape as well as your business needs.
If your company would like to strengthen its business practices, please contact us today so we can leverage our experience to create real-life business and legal solutions to help your business thrive.