"The federal fiduciary standard is under attack at the current time," Rhoades said Tuesday at an event hosted by the
"We are in danger of seeing the term 'fiduciary' co-opted," he added. "What we have now is a fiduciary standard that looks like disclosure only. Well, if disclosure worked, there would be no need for a fiduciary standard."
Tuesday's symposium marked the 50th anniversary of the
The event also recognized author
"If you're touching other people's money, you're a fiduciary," said
Instead, he suggests a "third way," whereby the
"We call a truce and move on to helping investors," Plaze said.
Nader is appealing to activist shareholders and others who have made careers out of agitating and exposing corporate misdeeds to contribute 1% of their total net worth to fund the nonprofit groups, which he says need to be staffed with dedicated, full-time paid employees.
"Nothing ever happens unless people are at the ramparts to make it happen," Nader said. "It never goes very far unless someone is there."
Those groups, as Nader envisions them, would engage in a variety of campaigns to hold financial institutions accountable, including lobbying lawmakers and executive branch officials, taking their case to the public, and pursuing litigation.
Nader proposed a cap on individual contributions at
And Nader is first in line. "I will pledge 1% of my financial net worth" for each of the next three years, Nader said. "It will come to about
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