US SEC proposes AI rules for money managers

Concerns AI and predictive analytics could skew the incentive mechanisms for advisors and brokers

clock • 3 min read
US SEC proposes rules for money managers, brokerages on use of AI and data analytics
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US SEC proposes rules for money managers, brokerages on use of AI and data analytics

Proposed rules cover use of analytical, technological and computational functions, correlation matrices, algorithms, models or similar methods or processes

The US Securities and Exchange Commission (SEC) on Wednesday proposed new rules that would require registered investment advisors and broker-dealers to address potential conflicts of interest arisi...

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