Regulation and Compliance News from Financial Planning

In this month's Financial Advisor Confidence Outlook, advisors' feelings about the overall economy and practice performance were up. That optimism could be fleeting.

Former Morgan Stanley broker Kathy Frazier sued the firm in 2015 and was later joined by six other Black plaintiffs who also alleged they had been systematically excluded from the best advisory teams and client leads.

The massive law filled in some important answers for financial advisors and tax pros' many questions coming into the year. Here's a roundup of FP's coverage.

Compliance and former SEC lawyers say remaining industry regulators will prioritize preventing imminent investor harm while putting off some paperwork and routine tasks.

Co-founded by four Orion veterans, new wealthtech startup Hamachi.ai seeks to embed AI-powered compliance into client communications.

Francisco Gil tried to claim his status as an independent contractor entitled him to tax deductions for travel, meals and marketing expenses. The IRS and a federal judge said he was in fact an employee.

A government shutdown disrupts federal agencies and markets. Here's what advisors need to know to guide clients through the uncertainty.

Merrill had sought a temporary restraining order to prevent members of a large Atlanta-based team who left last week from soliciting former clients for their new firm.

The Treasury and the IRS issued guidance on qualified OZ investments in rural areas under the One Big Beautiful Bill Act.

Also this month in our disciplinary digest, a now-barred 'problem broker' for Stifel lands his former firm another hefty settlement, and an advisor is accused of fraud for trying to poach clients from his old firm.

While stock values get the most attention after the Fed cuts rates, they affect trusts, too. Some beneficiaries of entities without flexible distribution provisions could take a big hit.

In a lengthy court reply, advisors who left Merrill this week to form an RIA with Dynasty Financial Partners accuse Merrill of "bad faith" for putting them on administrative leave and failing to reinvest in their business.

Merrill accuses industry rivals of conspiring with a group of former employees to remove confidential client information and trade secrets for the formation of a new RIA.

The new tax law won't completely eliminate the complicated tax incentives for food on the job, but experts suggest businesses may change up their menus.

The regulator's Investor Advisory Committee said policymakers could abandon asset and income thresholds for determining who can put money into private markets and instead adopt a "sophistication" standard.

Respondents in this month's Financial Advisor Confidence Outlook cheered the prospect of a Fed rate cut, but they didn't feel good about much else.

The proposed regulations on the "no tax on tips" provision of the One Big Beautiful Bill Act outline which jobs and tips would be eligible.

Senate and House Democrats proposed a bill to ensure billionaires pay a "fair share" of taxes, without actually raising their tax rate under current law, while Republicans advanced legislation pertaining to the IRS and the U.S. Tax Court.

The latest revision to state regulators' guidelines for non-traded real estate investment trusts could change who can invest and how advisors can recommend the products to clients.

Attorneys and other compliance experts say it's important that financial advisors greet any type of negative feedback with a thoughtful response — especially if it could turn into a legal matter.