Thirty members of Congress belonging to the New Democrat Coalition have sent a letter to Department of Labor Secretary Thomas Perez expressing their concerns about a potential DOL fiduciary regulation.
They write that “any new [fiduciary] definition should not limit access to investment education and information.”
NAIFA has expressed concern that increasing regulatory burdens on advisors who serve retirement plans or individuals saving for retirement could increase their costs and liability, making it difficult for them to continue serving low- and middle-market Americans. A regulation that prevents retirement-account advisors from receiving commissions would threaten a business model that has served many individuals and small business well for decades.
The members of Congress also asked Sec. Perez to coordinate with other regulators “to ensure that all regulatory efforts with respect to fiduciary standards work together in a way that serves retirement savers effectively.” The Securities and Exchange Commission is also considering whether or not to propose a fiduciary requirement for registered representatives.
Late last year, Sec. Perez said DOL will delay any proposed fiduciary rule until August so that the secretary may listen to and address concerns of Congress and the industry.
"NAIFA applauds the members of the New Democrat Coalition for reaching out to Secretary Perez,” said NAIFA President John Nichols. “These members of Congress understand the important services advisors provide Americans saving for retirement. NAIFA agrees that it is crucial that any regulations issued by the Department of Labor do not bring unintended consequences that would harm people with the greatest need for retirement and investment assistance.”