The Massachusetts Securities Division has issued an amended version of its proposed fiduciary standard for financial advisors. The original proposal was released in mid-June.

The amendment adds definition to the standard by including a detailed list of requirements as described in Faegre Drinker’s updated state law chart. The absence of this type of description has been a major criticism of other attempts at adopting a fiduciary standard for financial advisors.

In spelling out the details of the fiduciary standard, the Securities Division states that the standard does not apply to fiduciaries under ERISA. It is unclear whether this was added in recognition of the fact that the ERISA fiduciary standard already is clearly defined or to avoid a preemption challenge of the new regulation, or perhaps both.

As in the prior version of the proposal, there is no indication that it gives customers a private right of action.