|
|
The Text of the Dodd-Frank Act
International Association of
Risk and Compliance Professionals (IARCP)
Dodd Frank Act Section 919
SEC. 919. CLARIFICATION OF COMMISSION
AUTHORITY TO REQUIRE INVESTOR DISCLOSURES BEFORE PURCHASE OF
INVESTMENT PRODUCTS AND SERVICES.
Section 15 of the
Securities Exchange Act of 1934 (15 U.S.C. 78o) is amended by
adding at the end the following:
‘‘(n) DISCLOSURES TO RETAIL INVESTORS.—
‘‘(1) IN GENERAL.—Notwithstanding any other provision
of the securities laws, the Commission may issue rules designating
documents or information that shall be provided by a broker or
dealer to a retail investor before the purchase of an investment
product or service by the retail investor.
‘‘(2) CONSIDERATIONS.—In
developing any rules under paragraph (1), the Commission shall
consider whether the rules will promote investor protection,
efficiency, competition, and capital formation.
‘‘(3) FORM AND CONTENTS OF DOCUMENTS AND
INFORMATION.—
Any documents or information designated under a rule
promulgated under paragraph (1) shall—
‘‘(A) be in a summary format; and
‘‘(B) contain clear and concise information about—
‘‘(i) investment objectives, strategies, costs, and risks; and
‘‘(ii) any compensation or other financial incentive received
by a broker, dealer, or other intermediary
in connection with
the purchase of retail investment products.’’.
Return to Index
Return to the Table of Contents
Visit the
international Association of Risk and Compliance Professionals
(IARCP)
|
|
|
