SEC Requests Feedback on Broker-Dealer and Investment Adviser Use of Digital Engagement Practices

The SEC has issued Request for Information and Comments on Broker-Dealer and Investment Adviser Digital Engagement Practices, Related Tools and Methods, and Regulatory Considerations and Potential Approaches; Information and Comments on Investment Adviser Use of Technology to Develop and Provide Investment Advice. Specifically, the SEC is seeking feedback on matters related to (1) “broker-dealer and investment adviser use of ‘digital engagement practices’ or ‘DEPs,’ including behavioral prompts, differential marketing, game-like features . . . , and other design elements or features designed to engage with retail investors on digital platforms . . . as well as the analytical and technological tools and methods used in connection with these digital engagement practices” and (2) “investment adviser use of technology to develop and provide investment advice.”

The comment period will be open for 30 days after the date of the publication of the request for information in the Federal Register. For more information, see the press release and public statement on the SEC’s Web site.