According to a report over at Investmentnews.com yesterday, FINRA is backing off plans to become the self-regulatory organization for registered investment advisors. The articles quotes Rich Ketchum, FINRA's Chair and CEO as telling the WSJ that, "We are not pursuing it at the present time" and that "We don't perceive any liklihood that it would be successful."
I suppose that RIA firms everywhere are breathing a little easier today. For now.
Given that the SEC only examines a very small percentage of RIA firms each year, the regulatory scheme of RIA firms will likely change in the future, I believe. But when and how remain a mystery, for now. The SEC has sought additional funding in their budget to increase staff so that it can conduct more examinations. We'll see how the appropriations battle plays out.