Thursday, January 29, 2009
NASAA outlined its legislative agenda for the 111th Congress aimed at strengthening investor protection, restoring state authority in certain areas, and providing greater transparency and accountability for those in the financial services industry and in government who share responsibility for the prosperity and safety of investors. NASAA framed its legislative proposals in terms of its five Core Principles for Regulatory Reform, released in November 2008:
1. Preserve state/federal collaboration while continuing to streamline the regulatory system where appropriate.
2. Close regulatory gaps by subjecting all financial products and markets to regulation.
3. Strengthen standards of conduct, and use “principles” to complement rules, not replace them.
4. Improve oversight through better risk assessment and interagency communication.
5. Toughen enforcement and shore up private remedies.