SEC Ad Rule Published in Federal Register, Setting Effective Date

John Baker, a lawyer with Stradley Ronon in Washington, told ThinkAdvisor Friday in an email that publication of the rule in the Federal Register "should put to rest any questions as to whether the Commission was having second thoughts about the rulemaking. That always seemed unlikely, when the action was unanimously approved."

Industry officials had wondered if Gary Gensler, President Joe Biden's pick to be the next SEC chairman, would voluntarily follow Biden's recent regulatory freeze directive, as independent agencies like the SEC are exempt from it.

The rule replaces the current advertising rule's "broadly drawn limitations with principles-based provisions designed to accommodate the continual evolution and interplay of technology and advice," and includes tailored requirements for certain types of advertisements.

The SEC also adopted related amendments to the investment advisor registration form and to the books and records rule. Form ADV was also amended to require advisors to provide additional information regarding their marketing practices to help facilitate the SEC's inspection and enforcement capabilities.

See: How to Leverage SEC's Game Changing New Ad Rule: Samantha Russell