July 30, 2010
The suitability standard governing broker-dealers and registered representatives is a robust and heavily enforced standard.
Compliance costs-both in terms of finances and time-are high, and those costs are eventually felt by clients. Adding another layer of regulation means another layer of compliance, and even more cost to clients.
I have my Life Insurance licences, as well as my series 6 and series 63 licenses. I am already monitored by three different levels ant the state and federal level.
We at New York Life have a complete division dedicated to nothing else but compliance issues. We can not even put out a mailer without it being approved by our natioinal compliance center. Our self policing is in most cases more stringent than the state and federal laws and regulations that already exist.
We also have individuals whos sole sole purpose and job discription if to enforce compliance issues in various regions of the country.
Some of thes compliance issues do seem burdonsome at times to th agent or advisor but at the end of the day they are in place for the best of our clients and to keep evryone on the right page.