A financial giant says a plan to regulate the market could hurt smaller investors. Edward Jones is sending representatives from all 50 states to the nation’s capitol to voice concerns about the Restoring American Financial Stability Act. The firm’s Wisconsin rep, Jeff Prebisch of Madison, calls it a “complex bill” but says a certain provision puts a “one size fits all” approach by charging an annual fee for investors rather than fees or commissions for individual transactions.” This could bar small investors from access to markets,” he says.
Jeff Prebisch (:36)
Prebisch says the measure may lead to less choice for investment, by prohibiting the sale of products like bonds or mutual funds from a particular broker’s inventory.
The financial advisor has been meeting with Wisconsin’s Congressional Delegation, who have been very interested in finding out about the state of investment during the current recession.
Edward Jones is supporting a detailed study by the SEC to prevent any legislative action from impeding the choice for small and large investors alike.