Lets financial advisors use their own companies to get paid without extra broker rules.
This bill, called the "Clarity for Compensation Act," would make it easier for financial advisors to use their own small companies to receive payments from their main brokerage firm. Currently, these small companies might be seen as brokers themselves, leading to extra rules. This change would remove that hurdle, as long as certain conditions are met, like proper oversight and clear ownership.
Today, a small company set up by a financial advisor to receive their pay might be considered a "broker" under federal law. This could lead to potential extra rules and registration. If this bill becomes law, these small companies would no longer be seen as brokers solely for receiving compensation. This is as long as they meet specific conditions for ownership, activity, and oversight. This change would take effect 180 days after the bill is signed into law.
HR 7187 · 119th Congress · January 21, 2026 · AI Summary by gemini-2.5-flash · 8/10
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9 filings mentioned this bill
Amounts reflect total quarterly lobbying spend reported to the Senate, not bill-specific spending. Source: Senate LDA filings.