The Protecting Innovation in Investment Act will safeguard Americans’ ability to participate in financial markets.
WASHINGTON, D.C. – The Financial Technology Association (FTA), a trade group representing innovators shaping the future of finance, today applauded U.S. Senate Commerce Committee Ranking Member Ted Cruz (R-TX) and U.S. Senator Bill Hagerty (R-TN.) for introducing the Protecting Innovation in Investment Act. This legislation will protect Americans’ access to affordable wealth-building tools by blocking the U.S. Securities and Exchange Commission (SEC) from advancing a harmful rule that limits the use of technology in investing.
“Millions of Americans are turning to digital tools to build wealth and invest for the future,” said Penny Lee, President and CEO of the Financial Technology Association. “Unfortunately, the SEC’s overly broad predictive data analytics rule threatens to reverse this progress and bring us back to the era of faxes and typewriters. We appreciate the leadership of Senators Cruz and Hagerty for proposing legislation that would compel the SEC to pause and reconsider this harmful rule.”
FTA previously expressed serious concerns with the SEC’s proposed rule in a comment letter to the agency. The rule proposes an overly broad definition of covered technology that could encompass all forms of digital communication. The limitations could drastically curtail the use of technology in financial markets at a time when it is helping lower costs and expand access to investment opportunities for millions of Americans.
FTA joined several other stakeholders in expressing support for the Protecting Innovation in Investment Act, including the American Council of Life Insurers (ACLI), American Investment Council (AIC), American Securities Association (ASA), Alternative Investment Management Association (AIMA), U.S. Chamber of Commerce, Financial Services Institute, Inc. (FSI), Institute for Portfolio Alternatives (IPA), Insured Retirement Institute (IRI), Investment Company Institute (ICI), Loan Syndications and Trading Association (LSTA), MFA, National Association of Insurance and Financial Advisors (NAIFA), National Bankers Association (NBA), and Securities Industry and Financial Markets Association (SIFMA).
ABOUT US
The Financial Technology Association (FTA) is a Washington, DC-based trade association representing industry leaders shaping the future of finance. We champion the power of technology-centered financial services and advocate for the modernization of financial regulation to support inclusion and responsible innovation.