2011 0712 – GOV (Senate) – Enhanced Investor Protection After The Financial Crisis – Tim Johnson (D-SD)

2011 0712 - GOV (Senate) - Enhanced Investor Protection After The Financial Crisis, Tim Johnson, (D-SD) --- [BonkNote]
- [PDF-132, VIDEO-Senate Page]
- banking.senate.gov/hearings/enhanced-investor-protection-after-the-financial-crisis
- Surveying The Investor Protection Provisions Contained In The Dodd-Frank Wall Street Reform And Consumer Protection Act One Year After Its Implementation
- Senate - Banking, Housing, and Urban Affairs

2011 01 - GAO - Consumer Finance: Regulatory Coverage Generally Exists for Financial Planners, but Consumer Protection Issues Remain, Government Accountability Office
- gao.gov///gao-11-235
- Full Report - 51p

(p61) - Prepared Statement of David Massey - NASAA President and North Carolina Deputy Securities Administrator
F. Improving Regulation of Financial Planners (Section 919C)
Section 919C of Dodd-Frank required a GAO study of the adequacy of financial planning regulation.
- Deferring to a study was a reasonable approach for Congress to take, since the crowded legislative calendar in the midst of the crisis did not allow for an adequate review of the issues or of various proposals that have been put forward to improve financial planning regulation.
  - Unfortunately, the GAO study on financial planning regulation,⁷ which was released in January, represents a real missed opportunity.
- ⇒ While it correctly highlights problems with the weak conduct standards that apply to insurance agents, it fails to address the basic question of how best to regulate activity that cuts across a variety of regulatory domains.⁸
- This is an important question that deserves more thoughtful analysis than it received in the GAO study.
- Indeed, we would encourage this Committee to look into the issue once the press of overseeing implementation of Dodd-Frank has passed.
State regulators bring to the FSOC the insights of ‘‘first responders’’ who see trends developing at the State level that have the potential to impact the larger financial system.