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While AIMR has imposed such standards on the mutual fund industry since 1995, it only began scrutinizing the increasingly popular SMA industry last year, and it had aimed to roll out standards July 1.
MMI and its members managed to explain to AIMR that whereas the industry can track the performance of institutional accounts, it does not have the technology or the infrastructure to track tens of thousands of retail SMA accounts. In addition, the industry took issue with another AIMR requirement that would have required money managers, not the selling brokers, to take responsibility for all marketing materials. The industry argued that this would be an undue onus since brokers and advisers primarily handle sales and often customize these products.
AIMR is now hoping to set an agenda for revising the guidelines by the end of the month.
