The broker-dealer exemption to the Investment
Adviser Act and Social Security reform are high on the priority list
for financial planners.
That's according to a new survey by the Financial
Planning Association, in which members picked the FPA's lawsuit against
the Security and Exchange Commission's exemption rule as the number one
public-issue priority in 2005.
Social Security reform placed second, followed by reform of the Alternative Minimum Tax.
Results of the poll seemingly buttress the FPA's
campaign against the broker-dealer exemption, which the SEC has
indicated is headed for final approval this year. The FPA and other
consumer groups have argued the exemption fails to adequately regulate
brokers doling out investment advice. Broker lobbies, meanwhile, say
the rule helps stimulate the availability of fee-based services in the
brokerage industry.
"A level playing field in regulation for the
financial planning profession obviously remains FPA's number one
issue," says Chuck Moran, chair of the FPA's Government Relations
Committee. "FPA's legal challenge of a SEC rule that would allow
brokers to masquerade as fiduciaries, continues to be a high priority
for financial planners."
About 10% of the FPA's 28,500 members responded to the survey, according to the association.
Among the other issues placing high on the priority
list were tax simplification, opposition to NASD oversight of financial
planners and opposition to state sales tax on financial services.