August 2, 2010
The suitability standard governing broker-dealers and registered representatives is a robust and heavily enforced standard. Is more control really needed?
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. Are we just going to add more costs??
I have my life, health and Series 6 license's. I'm held to standard of both the insurance as well as the securities industry. Whether it is continuing education or audits preformed at my office each year, I am under continuous scrutiny. Paperwork has reached preposterous amounts and now there is more. I would have to hire someone for a small office just to keep up with compliance. I'd end up spending more time worrying about compliance than I can spend with the clients. It just isn't necessary.