SEC supports electronic storage

The Securities and Exchange Commission issued a proposal last week that would let investment companies and advisers store all required records electronically.

The proposal was made as a result of passage of the Electronic Signatures in Global and National Commerce Act, which went into effect in last October. The law gives electronic signatures the same legal standing as signatures on paper. Online brokers, in particular Charles Schwab & Co. Inc., pushed for en-actment of the law.