{"id":19474,"date":"2021-02-01T13:20:12","date_gmt":"2021-02-01T19:20:12","guid":{"rendered":"https:\/\/www.investorlawyers.com\/blog\/?p=19474"},"modified":"2021-02-01T13:20:12","modified_gmt":"2021-02-01T19:20:12","slug":"investment-recommendations-best-interests","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/","title":{"rendered":"Investment Recommendations Don&#8217;t Always Equate To a Customer&#8217;s Best Interests"},"content":{"rendered":"<h2><span style=\"font-weight: 400;\">SEC\u2019s Regulation BI May Not Be Protecting Investors The Way They Think\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">It has been nearly seven months since the <\/span><a href=\"https:\/\/www.sec.gov\/regulation-best-interest\"><span style=\"font-weight: 400;\">SEC\u2019s Regulation Best Interest (BI)<\/span><\/a><span style=\"font-weight: 400;\">, a rule mandating that brokers NOT market themselves as financial advisors unless they actually are dually registered to be one, went into effect. The aim of this distinction is to let investors know whether they are working with someone who is bound to act in their best interests or not.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While brokers are supposed only to recommend financial products to customers that are suitable for them, this recommendation can also be based on what product will earn them the highest commission. This potential conflict of interest can be financially disadvantageous to an investor.<\/span><\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/\"  title=\"Continue Reading Investment Recommendations Don&#8217;t Always Equate To a Customer&#8217;s Best Interests\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>SEC\u2019s Regulation BI May Not Be Protecting Investors The Way They Think\u00a0 It has been nearly seven months since the SEC\u2019s Regulation Best Interest (BI), a rule mandating that brokers NOT market themselves as financial advisors unless they actually are dually registered to be one, went into effect. The aim of this distinction is to [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":19475,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3801,3761,4507],"tags":[2536,2961,4508,4422],"class_list":["post-19474","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-sec","category-securities-and-exchange-commis","category-unsuitability","tag-investor-protection","tag-sec","tag-sec-regulation-best-interest","tag-unsuitable-investment-recommendations"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Investment Recommendations Don\u2019t Always Suit Best Interests | Investor Lawyers<\/title>\n<meta name=\"description\" content=\"The investment recommendations given by brokers may not always be in a customer\u2019s best interests. Learn more about why this happens.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Investment Recommendations Don\u2019t Always Suit Best Interests | Investor Lawyers\" \/>\n<meta name=\"twitter:description\" content=\"The investment recommendations given by brokers may not always be in a customer\u2019s best interests. 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Learn more about why this happens.","twitter_image":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2021\/02\/pexels-sora-shimazaki-5668842-1.jpg","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Investment Recommendations Don&#8217;t Always Equate To a Customer&#8217;s Best Interests","datePublished":"2021-02-01T19:20:12+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/"},"wordCount":583,"image":{"@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/#primaryimage"},"thumbnailUrl":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2021\/02\/pexels-sora-shimazaki-5668842-1.jpg","keywords":["Investor protection","SEC","SEC Regulation Best Interest","unsuitable investment recommendations"],"articleSection":["SEC","Securities and Exchange Commission","Unsuitability"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/","url":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/","name":"Investment Recommendations Don\u2019t Always Suit Best Interests | Investor Lawyers","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/#primaryimage"},"image":{"@id":"https:\/\/www.investorlawyers.com\/blog\/investment-recommendations-best-interests\/#primaryimage"},"thumbnailUrl":"https:\/\/www.investorlawyers.com\/blog\/wp-content\/uploads\/2021\/02\/pexels-sora-shimazaki-5668842-1.jpg","datePublished":"2021-02-01T19:20:12+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"The investment recommendations given by brokers may not always be in a customer\u2019s best interests. 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