Comment Period on DOL Fiduciary Rule Examination Ends Today
In early February, President Trump issued a memorandum which directed the DOL to examine the fiduciary rule to determine whether it may adversely affect the ability of Americans to gain access to retirement information and financial advice. Comments relating to the examination should be submitted before midnight.
Earlier this month, the Department of Labor released the final rule extending the applicability date of its fiduciary rule for 60 days following a review by The Office and Management and Budget. The rule which redefines the fiduciary standard as it pertains to retirement investment advice was originally scheduled to begin implementation on April 10th, but was extended to June 9th.
The DOL originally requested the extension at the beginning of the March in response to the President’s memo requesting the examination.
As part of this examination, the DOL was directed to prepare an updated economic and legal analysis concerning the likely impact of the final rule. Among other things, the DOL will examine whether the rule harms investors by restricting their access to certain retirement savings offerings, product structures, or information; increases litigation; results in dislocations or disruptions within the retirement services industry; and increases prices that investors and retirees must pay to gain access to retirement services.
Upon completion of its examination, the DOL may decide to allow the final rule and prohibited transaction exemptions to become applicable, issue a further extension of the applicability date, propose to withdraw the rule, or propose amendments to the rule and/or the PTEs.
The President’s memorandum was published in the Federal Register on February 7, 2017.
Comments can be submitted by clicking here.
