Wrap Fee Programs: Best Execution No Defense if Trade Aways Not Disclosed

Best execution, best execution, best execution. Those two words are pounded into the minds of advisers and their trading desks so that clients receive the best deals possible. But they apparently made little difference to the SEC, which settled with a wrap fee program subadviser for failing to adequately disclose the frequency of trades it sent to non-affiliated brokers - even though the subadviser said those trades resulted in lower execution costs.
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