3235-AN14 202310 The Regulatory Plan and the Unified Agenda of Federal Regulatory and Deregulatory Actions 3235 Securities and Exchange Commission SEC Conflicts of Interest Associated With the Use of Predictive Data Analytics by Broker-Dealers and Investment Advisers

The Division of Trading and Markets and the Division of Investment Management are considering recommending that the Commission adopt rules related to broker-dealer and investment adviser conflicts in the use of predictive data analytics, artificial intelligence, machine learning, and similar technologies in connection with certain investor interactions.  The Commission proposed new rules under the Securities Exchange Act of 1934 and the Investment Advisers Act of 1940 to eliminate, or neutralize the effect of, certain conflicts of interest associated with broker-dealers’ or investment advisers’ interactions with investors through these firms’ use of technologies that optimize for, predict, guide, forecast, or direct investment-related behaviors or outcomes. The Commission also proposed amendments to rules under the Exchange Act and Advisers Act that would require firms to make and maintain certain records in accordance with the proposed conflicts rules.  This RIN has been merged with 3235-AN00.  

]]> Substantive, Nonsignificant Previously Published in The Unified Agenda Final Rule Stage Undetermined No 17 CFR 240.15l-2 17 CFR 240.17a-3 17 CFR 240.17a-4 17 CFR 275.211(h)(2)-4 17 CFR 275.204-2 15 U.S.C. 78j 15 U.S.C. 78q 15 U.S.C. 80b-4 15 U.S.C. 80b-11 15 U.S.C. 80b-11(a) 15 U.S.C. 80b-11(h) No NPRM 08/09/2023 88 FR 53960 NPRM Comment Period End 10/10/2023 Final Action 04/00/2024 Undetermined Undetermined Undetermined No No 3235-AN00 Merged with Sirimal Mukerjee Senior Special Counsel, Division of Investment Management 3235 Securities and Exchange Commission SEC 202 551-3340 mukerjees@sec.gov 100 F Street NE, Washington DC 20549