National Senior Investor Initiative Act of 2021

Floor Speech

BREAK IN TRANSCRIPT

Mr. McHENRY. Madam Speaker, I yield myself such time as I may consume.

Madam Speaker, I rise in support of H.R. 1565, the Senior Security Act.

I would like to thank my colleagues, Mr. Hollingsworth of Indiana and Mr. Gottheimer of New Jersey for their work on this important piece of bipartisan legislation that will strengthen current efforts to protect senior investors.

Madam Speaker, American capital markets provide every mom-and-pop investor with the opportunity to realize the American Dream. Our capital markets allow individuals and families to grow their nest egg for retirement, their children to have an opportunity for college tuition, or to save and purchase a home.

Moreover, as Americans age, they are an important part of the success and vibrancy of the U.S. capital markets. In fact, Americans over the age of 50 already account for roughly 77 percent of financial assets in the United States. To that end, fraud and exploitation of any kind in our capital markets threatens the integrity of our markets and harm investors seeking to build their nest eggs.

It is especially problematic when the fraud targets senior investors. Protecting senior investors and preventing such predatory behavior within our financial markets is a goal that we all share, regardless of party. This bill will support the Securities and Exchange Commission's current efforts to protect against increasing instances of financial exploitation against senior investors.

H.R. 1565 creates an interdivisional task force at the Securities and Exchange Commission to examine and identify challenges faced by senior investors.

We already have some data on senior citizens who are targeted by financial exploitation. These statistics are alarming. Older Americans lose up to $36 billion each year to financial scams and abuse. One in five seniors have reported being victims of exploitation, and only a small number of cases of financial abuse are even reported. The rates of exploitation are only rising. In fact, The New England Journal of Medicine calls elder financial exploitation a virtual epidemic.

There are concerns that the COVID-19 pandemic has only exacerbated the trend. In addition to Congress, many States are already taking action, and that is a good thing.

This bipartisan bill is an important step for the Federal Government. The bill requires the SEC to identify current issues and challenges facing senior investors and to make policy recommendations for addressing these issues harming senior investors.

Madam Speaker, protecting senior investors and safeguarding the integrity of our financial markets are objectives I believe we can get behind. In our duty to protect our constituents, especially those most vulnerable who contribute so much to society, we need to be helpful and supportive.

BREAK IN TRANSCRIPT

Source