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Disclosing Conflicts of Interest by Investment Advisers: The Slippery Concept of Materiality
Fi360 Blog
Oct. 15, 2012
"While everyone seems to admit that all investment advisors have some conflicts of interest, only the 'material' conflicts need to be disclosed ... The problem here ... is that materiality is not only in the eye of the beholder, but it's when the beholder is looking backwards. When it counts, everyone tries to determine whether the missing disclosure was material after it has caused a loss."
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