New Jersey is one of the states keen on creating their own version of the dead DOL Fiduciary Rule. But industry pushback has led the Garden State to allow yet another hearing for public comment.
Industry groups sent around 70 requests for the hearing, scheduled for July 17th at the Division of Consumer Affairs in Newark. This extends the comment deadline from June 14th to July 18th.
Jason Berkowitz, chief legal and regulatory affairs officer at the Insured Retirement Institute, told InvestmentNews, “‘We urge the [New Jersey Securities] bureau to hold off, see if there’s a need for additional action and, if there is, then to re-open the rulemaking process at that time.'”
New Jersey’s state initiative to create their own advice standards comes off the heels of the SEC’s passed advice reform rules, which include Regulatory Best Interest. However, many investor advocate groups don’t think the Reg BI raises broker advice standards significantly. Turning to state initiatives is another hope for higher conduct standards from investor advocates.
