Fate of the fiduciary rule
The Obama-era fiduciary rule is dead in the water … for now. This marks a reprieve for impacted producers – those who offer retirement advice related to most IRAs and 401(k)s and some HSAs.
A federal appeals court earlier this month ruled that the U.S. Department of Labor (DOL) overstepped its authority by implementing the fiduciary rule. Following the 2-1 decision, the DOL announced that it will not enforce the rule “pending further review.”
What to expect:
- The DOL has not yet indicated whether it would take the case to the Supreme Court.
- It is likely that carriers will provide guidance as a result of 1) the procedures already put in place and 2) the outcome of the appeals court decision.
- The Securities and Exchange Commission (SEC) has already separately announced that it had taken steps to create a uniform fiduciary standard that would apply industry-wide.
Stay tuned to Agent Headlines as we follow the fate of the fiduciary rule.