Applicability of Regulation Best Interest to Retirement Plans
By EsqSocial Corporation 28/10/20
The SEC’s Regulation Best Interest (Reg BI) applies to recommendations by a broker-dealer to “retail customers.” As the term suggests, a retail customer is a “natural person” (or the legal representative of a natural person) who uses the recommendation “primarily for personal, family, or household purposes.” This means that advice given to legal entities and advice related to investing the assets of a business are not covered by the regulation. But what about recommendations provided to...
By: Faegre Drinker Biddle & Reath LLP