SEC Holds Investor Advisory Committee Meeting; Chair White and Commissioner Aguilar Address Committee (with Delta Strategy Group Summary)

The SEC held a public meeting of the Investor Advisory Committee. The meeting addressed the tick size pilot program and the definitions of "accredited investor" and "elder fraud," and included a briefing by SEC staff on market structure and the proposed Market Structure Advisory Committee.

SEC Chair Mary Jo White delivered the opening remarks in which she addressed the following:

• the status of the Committee's prior recommendations;
• the process of reviewing comments on the SEC's outstanding proposal regarding target date funds; and
• expectations regarding the SEC's June Order, which directed the exchanges and FINRA to submit a national market system plan to implement a one-year tick size pilot.

SEC Commissioner Aguilar focused on the exploitation of elderly investors by investment professionals. He explained that three of the most important topics facing elderly investors include the link between diminished capacity and elder financial abuse, retirement issues unique to certain minority groups, and regulatory initiatives designed to protect the financial future of seniors and retirees. Commissioner Aguilar recommended that the SEC do more to focus on elder abuse through:

• establishing a permanent, internal elder financial abuse working group composed of members of the relevant divisions and offices;
• improving its data collection and analysis efforts in tracking enforcement actions and tips, complaints and referrals involving elderly investors; and
• increasing its outreach to elderly investors through better coordination with self-regulatory organizations and other regulators.

Click here to view a summary of the meeting by Delta Strategy Group.