June 21, 2013
It is our belief at Skyline that the investing public would be best served by unifying the fiduciary standard for all financial professionals, up to the same level as is required currently for RIA's. For the vast majority of the public, the nuances between the levels of care are lost on them until it is far too late to change their mind. By unifying the standard, all professionals would be able to market themselves, their firms, and their services in a similar fashion. The public would receive an elevated level of care, and it would be far easier for regulators to pursue those that operate in a questionable manner under the brokerage model.
The best comparison we can think of to the current system is if you made it so doctors could recommend procedures to clients that were primarily aimed at enriching the doctor as long as it didn't cause undue harm to the patient. If such a standard seems ludicrous with regards to healthcare, it should seem no less absurd to allow financial professionals to operate in such a manner.
Thank you for considering this manner carefully and thoughtfully.