U.S.C. 1001 et seq.) defining the circumstances under 
which an individual is considered a fiduciary until the date 
that is 60 days after the Securities and Exchange Com-
mission issues a final rule relating to standards of conduct 
for brokers and dealers pursuant to the second subsection 
(k) of section 15 of the Securities Exchange Act of 1934 
(15 U.S.C. 78o(k)). 
SEC. 3. AMENDMENTS TO THE SECURITIES EXCHANGE ACT 
OF 1934. 
The second subsection (k) of section 15 of the Securi-
ties Exchange Act of 1934 (15 U.S.C. 78o(k)), as added 
by section 913(g)(1) of the Dodd-Frank Wall Street Re-
form and Consumer Protection Act (12 U.S.C. 5301 et 
seq.), is amended by adding at the end the following: 
‘‘(3) REQUIREMENTS PRIOR TO RULEMAKING.— 
The Commission shall not promulgate a rule pursu-
ant to paragraph (1) before— 
‘‘(A) identifying if retail customers (and 
such other customers as the Commission may 
by rule provide) are being systematically 
harmed or disadvantaged due to brokers or 
dealers operating under different standards of 
conduct than those standards that apply to in-
vestment advisors under section 211 of the In-
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vestment Advisers Act of 1940 (15 U.S.C. 80b– 
11); 
‘‘(B) identifying whether the adoption of a 
uniform fiduciary standard of care for brokers 
or dealers and investment advisors would ad-
versely impact retail investor access to personal-
ized investment advice, recommendations about 
securities, or the availability of such advice and 
recommendations; 
‘‘(C) conducting an assessment by the 
chief economist of the Commission that assesses 
the qualitative and quantitative costs and bene-
fits of the rule; and 
‘‘(D) the Commission, based on the assess-
ment described in subparagraph (B)— 
‘‘(i) determines that the benefits of 
the rule justify its costs; 
‘‘(ii) identifies and assesses available 
alternatives to the rule that were consid-
ered, including modification of an existing 
regulation, simplification of disclosures re-
garding standards of care that apply to 
brokers or dealers and those that apply to 
investment advisors, together with an ex-
planation of why the rule meets the regu-
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latory objectives more effectively than the 
alternatives; and 
‘‘(iii) ensures that the rule is acces-
sible, consistent, written in plain language, 
and easy to understand, and that the rule 
shall measure and seek to improve the ac-
tual results of regulatory requirements. 
‘‘(4) REQUIREMENTS
FOR
PROMULGATING
A 
RULE.—The Commission shall publish in the Fed-
eral Register alongside the rule promulgated pursu-
ant to paragraph (1) formal findings that such rule 
would reduce the confusion of a retail customer (and 
such other customers as the Commission may by 
rule provide) about standards of conduct applicable 
to brokers, dealers, and investment advisors. 
‘‘(5) REQUIREMENTS UNDER INVESTMENT AD-
VISERS
ACT
OF
1940.—In proposing rules under 
paragraph (1) for brokers or dealers, the Commis-
sion shall consider the differences in the registration, 
supervision, and examination requirements applica-
ble to brokers, dealers, and investment advisors.’’. 
Æ 
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