Real Estate Agents currently exempt from new Financial Advisers Act
Real Estate agents have a special exemption from having to comply with the requirements of the recently introduced Financial Advisers Act, providing that the advice they give is in the ordinary course of the business of a Real Estate agent. There are some interesting comments about this in the attached article, including “A true professional in any field always puts their clients’ interests ahead of their own. Therefore a real estate agent, a professional, would also ask themselves whether they have the competence to be able to provide the advice, which might include the ability to conduct a proper suitability analysis for their client. If the answer is no (as we’d often expect it to be in the case of complex property investment schemes) the agent should recommend that their client sees an AFA.