Advisers are urged to fight against SRO proposal

It was fitting that the National Association of Personal Financial Advisors' annual conference in Chicago opened Tuesday to the sound of bagpipes, because the 500 or so financial advisers attending are eager to take on some big battles. Adviser Scott McLeod of Brown McLeod Inc. did the honors in full Scottish regalia, kilt and all, playing “Amazing Grace” and “Scotland the Brave.” Opening speaker Susan John, founder and president of Financial Focus Inc., exhorted attendees to fight proposed legislation that would put fee-only advisers under the supervision of a self-regulatory organization. She was referring to a bill introduced in the House last month by Rep. Spencer Bachus, R-Ala., and Rep. Carolyn McCarthy, D-N.Y., that would create one or more adviser SROs. The Financial Industry Regulatory Authority Inc., which oversees broker-dealers, wants the job. “We must stop them so we won't have a watered-down fiduciary standard,” Ms. John said. “Write your congressperson — and have your mother, your children, your clients write, too.” [email protected]