Rule BI 7.20.20

Dear Clients:

Below is an excerpt from, one of our regulating bodies:

  • On June 5, 2019, the SEC adopted Regulation Best Interest (Reg BI) under the Securities Exchange Act of 1934. Reg BI establishes a “best interest” standard of conduct for broker-dealers and associated persons when they make a recommendation to a retail customer of any securities transaction or investment strategy involving securities, including recommendations of types of accounts.
  • Form CRS, to retail investors. As part of the rulemaking package, the SEC also adopted new rules and forms to require broker-dealers and investment advisers to provide a brief relationship summary,

The intention of ‘Reg BI’ is to apply a ‘standard of conduct’ to brokers similar to that of a ‘fiduciary,’ which legislates that Investment Advisors put clients’ interests ahead of their own. Since we hold separate registrations as a Broker through Oak Tree Securities and as a Registered Investment Advisor, this rule may or may not apply to your accounts or financial relationship with us.

Please get back with any questions or clarifications on this new rule.

Many thanks