08.10.18
DOL Fiduciary Rule Death Leaves 401(k) Advisors in Legal 'Grey Area' with Rollovers
by: Greg Iacurci
The Department of Labor (DOL) fiduciary rule provided a clear pathway for financial advisors to engage in certain activities that regulators previously considered hazy. Advice on rollovers from 401(k) plans was one of those hazy areas, and the demise of the rule has thrust the issue to center stage. The American Retirement Association highlighted the problem this week in a letter to Preston Rutledge, the assistant secretary of labor for the Employee Benefits Security Administration. The association said that financial advisors serving as fiduciaries to 401(k) plans are now in a "legal gray area" if they provide rollover recommendations to participants. It is seeking intervention from the DOL to address the issue.
Read the full article on InvestmentNews