Regulation Best Interest
The SEC adopted Regulation Best Interest (Reg BI) under the Securities Exchange Act of 1934.
Reg BI establishes a “best interest” standard of conduct for broker-dealers and associated persons when they make a recommendation to a retail customer of any securities transaction or investment strategy involving securities, including recommendations of types of accounts.
Download the Regulation Best Interest PDF
Customer Relationship Summary
The SEC also adopted new rules and forms to require broker-dealers and investment advisers to provide a brief Customer Relationship Summary, (Form CRS), to retail investors.
In addition, the SEC published interpretations concerning investment advisers’ standard of conduct under the Investment Advisers Act of 1940, and the “solely incidental” prong of the broker-dealer exclusion from the Advisers Act.
Download the Customer Relationship Summary PDF
* First Clearing is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company.