Maryland Seeks To Place Brokers, Agents Under A ‘Fiduciary’ Standard

The Maryland Financial Consumer Protection Commission, in a report released last week, is recommending that a "fiduciary duty standard" be placed on broker-dealers and insurance agents doing business in the state.

"Since (the) SEC and the state insurance regulators have proposed standards that largely preserve the status quo, individual states may need to provide greater protections that investors expect from financial professionals who provide investment advice," the report reads.

The Maryland Commission recommendation follows similar actions taken by regulators in Nevada and New York. The industry is concerned that each state regulator may create their own state specific regulations that differ in some manner.

According to the article, the expectation is that the Maryland will follow with a bill based on the commission recommendations very soon, said Andrew Remo, legislative affairs director for the American Retirement Association.