The Obama administration is seeking to give the US Securities and Exchange Commission (SEC) power to prohibit pay practices at brokerages and investment advisers and broader authority to bar individuals from work in the industry. The Treasury department yesterday sent Congress legislation that would let the SEC ban “sales practices, conflicts of interest and compensation schemes” deemed harmful to investors.

The measure authorises the agency to remove individuals who violate rules from all aspects of the industry, rather than just a specific segment such as selling securities or managing money. – (Bloomberg)