Getting Stock Broker Advice?

                       

SEC regulations want to see that stock brokers have to treat their clients differently than in the past, if they already do not.

                       

Of course it won’t do much for most investment portfolios, but it will make bureaucrats feel better.

                       

In the past a broker had to be sure that an investment was ”suitable” for a client. What was suitable was often debatable, but that is what makes securities markets as they are.

                       

Now the broker is supposed to have a “fiduciary duty” toward the client. according to SEC intentions. That should open a hornet’s nest of endless legal problems

                       

The main result of this is to give investors more ammunition to sue brokers for real or imagined damages. That offers more power to the lawyers.”(See the Earl J. Weinreb NewsHole® comments and @BusinessNewHole tweets.)