Elections could bench — or eject — heavy hitters

The potential for political upheaval on Capitol Hill following the Nov. 2 election has grabbed the attention of many financial interest groups — and has some preparing to change the targets for their advocacy efforts
NOV 01, 2010
The potential for political upheaval on Capitol Hill following the Nov. 2 election has grabbed the attention of many financial interest groups — and has some preparing to change the targets for their advocacy efforts. Most political prognosticators are predicting a Republican take-over of the House. But even if the GOP falls short, individual Democrats could lose, ushering in key changes on congressional committees. “Whatever happens, we can promise you that we'll be prepared for it,” Brian Graff, chief executive of the American Society of Pension Professionals and Actuaries, said at his organization's annual conference in Washington on Oct. 17. For instance, Rep. Paul Kanjorski, D-Pa., is one lawmaker who has a good deal of influence on issues pertaining to financial advisers. Mr. Kanjorski, a champion of the fiduciary standard, is the chairman of the House Financial Services Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises. Several recent polls, however, show him trailing Republican Lou Barletta. Mr. Kanjorski has won previous re-election campaigns by comfortable margins — though Mr. Barletta garnered 48% of the vote in his 2008 race against Mr. Kanjorski. Both Mr. Kanjorksi and Mr. Barletta have raised a substantial amount of campaign funds — $1.7 million and $907,584, respectively. In addition, outside groups have had a big impact, spending $1.1 million in support of Mr. Kanjorski and $1.2 million in opposition to him, according to OpenSecrets.org, a website that tracks political spending. In another election that could affect the future of retirement policy, Rep. Earl Pomeroy, D-N.D, a champion of pension reform and chairman of a key Ways and Means subcommittee, is in danger of losing his seat in the elections next month. “He's in a bit of trouble,” Mr. Graff said. Mr. Pomeroy is in a tight race against Republican Rick Berg. Both candidates have built big war chests — $2.7 million for Mr. Pomeroy and $1.6 million for Mr. Berg as of Sept. 30. With the political winds swirling for the near future, it will be impossible to predict the outcome of this race or any other, according to Mr. Graff. “We have no idea what's going to happen on Nov. 2,” he said. “This is going to be a watershed election. It's going to have a tremendous impact on the climate here in D.C.” Whether there is a Republican wave that wipes out House and Senate Democratic majorities or just a number of Republican pickups in each chamber, interest groups have to be prepared. The ASPPA has expanded its congressional-affairs staff, Mr. Graff said. “It's going to present a new challenge,” he said. Even before voters have cast their ballots, change is already pervasive in Washington, thanks to an abundance of rulemaking at the Labor Department and the Securities and Exchange Commission, among other departments and agencies. “I cannot remember a time when there's been such a significant amount of regulatory activity happening all at the same time on different fronts,” Mr. Graff said. E-mail Mark Schoeff Jr. at [email protected]

Latest News

The 2025 InvestmentNews Awards Excellence Awardees revealed
The 2025 InvestmentNews Awards Excellence Awardees revealed

From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.

Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty
Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty

Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.

Edward Jones joins the crowd to sell more alternative investments
Edward Jones joins the crowd to sell more alternative investments

“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.

Record RIA M&A activity marks strong start to 2025
Record RIA M&A activity marks strong start to 2025

Sellers shift focus: It's not about succession anymore.

IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients
IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients

Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.