June 1, 1994
TO: BOARD OF GOVERNORS NO. 47-94
RE: CHAIRMAN DINGELL'S LETTER TO SEC AND INSTITUTE ON PERSONAL
INVESTING
__________________________________________________________
House Energy and Commerce Committee Chairman John Dingell
recently sent a letter to SEC Chairman Levitt and the Institute
concerning the Report of the Advisory Group on Personal Investing.
A copy of Chairman Dingell's letter is attached.
In his letter, Chairman Dingell stated that the Report "put
forth a series of tough and far-reaching substantive restrictions
and procedural requirements on personal trading" and commended the
Institute and the Advisory Group "for its swift and comprehensive
response." The letter states that the SEC should give serious
consideration to the Advisory Group's recommendations as the
Commission formulates its conclusions from its survey of 30 fund
groups.
Chairman Dingell's letter states that "in the main, the
report's recommendations should be treated as a minimum set of
standards" and requests information concerning whether the
Commission has sufficient resources to maintain an effective
program of examination for compliance in this area. Chairman
Dingell's letter notes that the Advisory Group's Report does not
recommend a total ban of personal trading, and states that he hopes
"that this issue could be revisited in the process of refining and
adopting the report's existing recommendations."
Matthew P. Fink
President
Attachment