Vanguard will pay over $19 million to settle SEC charges for not disclosing financial incentives for clients to enroll in certain managed accounts. Empower will pay nearly $6 million for similar charges regarding in-plan retirement accounts. Vanguard’s compensation plan financially incentivized advisors to keep clients in the Personal Advisor Services (PAS) program. The SEC found discrepancies in disclosure documents provided to clients, with misleading statements on the website. Vanguard agreed to a cease-and-desist order, censure, and $19.5 million civil penalty. Empower also settled charges, agreeing to pay nearly $6 million in disgorgement and penalties. Empower did not provide comment.

Read more at Yahoo Finance: Vanguard, Empower Settle SEC Charges Over Advisor Conflict Disclosures