Financial regulatory bill agreed on

June 25th, 2010 in Law 0 comments

House and Senate conferees finally worked out a compromise bill aimed at reshaping financial regulations to avoid another Crash of ’08, with a final vote set for next week and President Obama expected to sign it by July 4th.  As expected: many winners and losers.  One controversial provision gives the SEC authority to require stockbrokers to protect their clients’ interest when recommending investments, potentially subjecting brokers to the same fiduciary duty as financial advisers.  Law Professor Tamar Frankel, author of “Trust and Honesty: America’s Business Culture at a Crossroad” and authority on securities law, says it’s about time.

“It offers a chance and a challenge for the SEC to become the leader that it used to be from the 1940s until about 1980.  It is a chance to bring about a far more reliable financial system and to refocus on productivity rather than betting.”

Contact Tamar Frankel, 617-353-3773, tfrankel@bu.edu

Tagged Boston University School of Law, broker-dealers, BU LAW, compromise bill, Congress, Crash of 2008, EC, economic downturn, fiduciary responsibility, financial regulatory reform, House of Representatives, July 4th, law school, President Obama, security law, Senate, Tamar Frankel, Trust and Honesty: America's Business Culture at a Crossroad, US Congress, US Senate