SEC/CFTC Issues Report On Harmonization Of Regulation- AFA

SEC/CFTC Issues Report on Harmonization of Regulation- AFA
Feb 24, 2010

This report, issued in October 2009, was drafted in response to the Obama Administration’s White Paper on Financial Regulatory Reform wherein the SEC and the CFTC were required to identify conflicts in statutes and regulations  with a view to either explaining why such differences are required to achieve the main policy objective of maintaining investor protection, market integrity and price transparency, or devise recommendations for amendments to such regulations to eliminate the identified differences.

The Report contains 20 recommendations, 12 of which would require new legislation. For Investment Advisers, the main focus of the joint SEC/CFTC report deals with possible uniform standards of fiduciary duties as well as an alignment of reporting requirements for Registered Investment Advisors to private funds under both regulatory agencies.