“The only viable solution is for regulators to take note of the impact on clients”… @HDelux talks with @NeilAWeinberg @Bloomberg.

The idea of a “protocol 2.0” has been bouncing around for some time, but getting hundreds of members with competing interests to agree on revisions would likely prove a daunting task. And a return to the pre-2004 legal wars could breed animosity and raise costs all around.

Another option would be for the Securities and Exchange Commission to clarify client privacy regulations to define what data departing advisers can take with them, rather than leaving it to the industry, said Brian Hamburger, founder of MarketCounsel, which helps advisers go independent.

“The only viable solution is for regulators to take note of the impact on clients” of barriers involving the movement of advisers, Hamburger said. “Once you lock up clients, or make it difficult to move with advisers, you’re hurting clients’ rights.”

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