Finra accepting comments on rule change to allow investment-strategy projections

Broker-dealer groups endorse the change, saying it would put them on a level playing field with investment advisers

Mar 8, 2017 @ 1:46 pm

By Mark Schoeff Jr, Investment News

Finra is accepting comments on a proposal that would allow brokers to project the performance of investment strategies in communications with clients.

Under the proposal by the Financial Industry Regulatory Authority Inc., a broker could distribute to clients a hypothetical financial plan that includes projected performance of an asset allocation or strategy but not a prediction of return on an individual stock.

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