124 STAT. 1824 PUBLIC LAW 111–203—JULY 21, 2010 ‘‘(B) disclosing the action, if any, the Commission intends to take with respect to the finding or recommenda- tion. ‘‘(h) COMMITTEE FINDINGS.—Nothing in this section shall require the Commission to agree to or act upon any finding or recommendation of the Committee. ‘‘(i) FEDERAL ADVISORY COMMITTEE ACT.—The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply with respect to the Committee and its activities. ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.—There is authorized to be appropriated to the Commission such sums as are necessary to carry out this section.’’. SEC. 912. CLARIFICATION OF AUTHORITY OF THE COMMISSION TO ENGAGE IN INVESTOR TESTING. Section 19 of the Securities Act of 1933 (15 U.S.C. 77s) is amended by adding at the end the following: ‘‘(e) EVALUATION OF RULES OR PROGRAMS.—For the purpose of evaluating any rule or program of the Commission issued or carried out under any provision of the securities laws, as defined in section 3 of the Securities Exchange Act of 1934 (15 U.S.C. 78c), and the purposes of considering, proposing, adopting, or engaging in any such rule or program or developing new rules or programs, the Commission may— ‘‘(1) gather information from and communicate with inves- tors or other members of the public; ‘‘(2) engage in such temporary investor testing programs as the Commission determines are in the public interest or would protect investors; and ‘‘(3) consult with academics and consultants, as necessary to carry out this subsection. ‘‘(f) RULE OF CONSTRUCTION.—For purposes of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.), any action taken under subsection (e) shall not be construed to be a collection of informa- tion.’’. SEC. 913. STUDY AND RULEMAKING REGARDING OBLIGATIONS OF BROKERS, DEALERS, AND INVESTMENT ADVISERS. (a) DEFINITION.—For purposes of this section, the term ‘‘retail customer’’ means a natural person, or the legal representative of such natural person, who— (1) receives personalized investment advice about securities from a broker or dealer or investment adviser; and (2) uses such advice primarily for personal, family, or household purposes. (b) STUDY.—The Commission shall conduct a study to evaluate— (1) the effectiveness of existing legal or regulatory stand- ards of care for brokers, dealers, investment advisers, persons associated with brokers or dealers, and persons associated with investment advisers for providing personalized investment advice and recommendations about securities to retail cus- tomers imposed by the Commission and a national securities association, and other Federal and State legal or regulatory standards; and (2) whether there are legal or regulatory gaps, short- comings, or overlaps in legal or regulatory standards in the protection of retail customers relating to the standards of care 15 USC 78o note. 15 USC 78o note.
