Subject: File No. S7-25-99
From: Neil Leary

July 24, 2004

Subject: File No. S7-25-99

Dear Sir/Madam,

I urge the SEC not to exempt broker-dealers from being covered by the Advisers Act. In fact, the SEC should increase its oversight of broker-dealers to assure compliance with the Advisers Act. Over the past year I have been assisting my retired mother with managing her investments. I was surprised to learn that my mother was unaware that her "financial adviser" of the past several years was in fact a broker and that he earned a commission each time she followed his "advice". I sat in on one of her meetings with him and observed him offer advice about investments. He did so without reminding my mother that he is not a financial adviser acting in her interest, that his true role was as a sales agent, nor that he would be earning a commission if she made the transactions that he suggested. In my view this broker was clearly violating the Advisers Act.

The Advisers Act, if followed by broker-dealers, and enforced by the SEC, offers important protections to investors. The SEC should not weaken these protections and should make a greater effort to enforce compliance by broker-dealers with the Advisers Act.


Neil Leary
15300 Beaufort Place
Silver Spring, MD 20905