The Securities and Exchange Commission said it wants to require investment advisers to provide clients with online brochures describing their services, fees and conflicts of interest in a reader-friendly format.

The SEC voted to propose rule amendments to Part 2 of Form ADV, which would require plain-English disclosure. The brochure would require receipt of compensation from issuers as well as discussion of conflicts of interest about side-by-side management. The SEC has not yet released the rule proposal.

If adopted, the proposed rule would change the way the information is disseminated to investors by making information about an investment adviser's business practices available on the Internet.

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