August 26, 2010
There is a suitability standard, as you know, that is monitored and audited by FINRA that is a preventative measure for consumers, it helps to insure that the investments they are making are suitible for them. The fiduciary standard you are trying to impose will not protect consumers. It only allow ambulance chasers and individuals an opening to attack finaicial services professionals and flood our industry with law suits.It is going to do is allow a look back of all the years of good business we have done and allow consumers and the legal sector the right to deem whatever they want a fiduciary breech. This will undoubtedly damage out industry. EO insurance will be so expensive that the average individual will not be able to even afford to purchase an investment due to the hightened fees that will have to be charged to cover our EO insurnace. Do you want to see the medical profession mal practice issues revisted in the financial sector? I think not.