WSR 97-08-059
PREPROPOSAL STATEMENT OF INQUIRY
DEPARTMENT OF
FINANCIAL INSTITUTIONS
[Filed April 1, 1997, 8:40 a.m.]
Subject of Possible Rule Making: Changes to chapter 460-24A WAC, the rules relating to investment advisers and investment adviser representatives, including changes to WAC 460-24A-220 which defines dishonest and unethical practices of investment advisers.
Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 21.20.450.
Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: The purpose of these rule changes are to make our rules governing investment advisers consistent with those of other states and to respond to the National Securities Markets Improvement Act of 1996 which reallocated federal and state responsibilities in the regulation of investment advisers.
Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: The Securities and Exchange Commission also regulates investment advisers but as of July 1997, there will be investment advisers will be registered with either the SEC or with the states but not with both.
Process for Developing New Rule: The rules to be adopted are uniform rules developed nationally through a process of notice and comment. The uniform rules parallel rules adopted by the SEC.
Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Suzanne Sarason, Securities Division, Department of Financial Institutions, P.O. Box 9033, Olympia, WA 98507-9033, voice (360) 902-8760, FAX (360) 586-5068, e-mail ssarason@dfi.wa.gov.
March 27, 1997
John L. Bley
Director