United States of America: Introduced Protecting Innovation in Investment Act (SB 3735)

On 6 February 2024, the Protecting Innovation in Investment Act (SB 3735) was introduced in the United States Congress. The Act aims to prevent the implementation of the Securities and Exchange Commission's (SEC) proposed rule titled "Conflicts of Interest Associated With the Use of Predictive Data Analytics by Broker-Dealers and Investment Advisers". The proposed rule would require broker-dealers and investment advisers to evaluate potential conflicts of interest arising from the use of technologies such as predictive data analytics and artificial intelligence. The Act would prohibit the SEC from finalising, implementing, or enforcing this rule or any similar rule.