August 12, 2010
Dear Members of the SEC,
I am writing you to plead that you not continue forward with your current direction envolving the placing of new strictor responsabilities on Licensed Investment representatives. There are already substantial safe guards in place currently. The current course of action will do nothing to improve client protection. The increased exposure to legal suits will pass costs associated with EO insurance and legal defense to the consumer in the forms of having to charge them a fee for their planning. The same issue that is facing our health care industry will then plague the financial services industry as well. Just as Doctors charge large fee's for their service to pay for legal fee's and Liablity insurance, this proposal (if passed) will pass along higher costs to clients and eventially exclude middle and lower income brackets because the risk will outweigh the reward to providing them financial advise, or put them completely out of business.
We are a market driven economy and people are as confused as ever about where to invest their money. They demand our help, it would be well recieved if they could get the help they need and not have to worry about being billed for every phone call, meeting and email. Their are many advisors that have minimum investment amounts before they will work with a prospect. This will force EVERY advisor to have such limits. If you don't meet the limit than your on your own. Please explain to me how that helps our Citizens and provides them with "more protection"? Thank you for your reconsideration of this matter.