From: Edward Riley
To Whom It May Concern:
I am writing to express my concerns about the SEC's ongoing review of Rule 12b-1. Potential and existing clients need the continuing service, guidance and support that are provided by financial advisors to achieve their financial goals. 12b-1 fees provide an efficient method to support the service which clients require for successful investing.
In an industry where many large broker-dealers have marginalized small accounts, regional broker dealers frequently provide a last line of defense when it comes to educating small investors. The SEC should not remove the financial incentives that encourage support of these small accounts.
While it is reasonable to review the investor benefits of 12b-1 fees, the repeal of 12b-1 has the potential to cause great harm to thousands of individual investors who need the support and service of a trained financial advisor. As a result, I urge the SEC to allow Rule 12b-1 to continue to support registered representatives providing needed financial services to middle class American investors pursuing their financial goals.