03.12.24
Final DOL Fiduciary Rule Goes to OMB for Review
by: Jake Martin
A final version of the U.S. Department of Labor's (DOL) latest fiduciary rule has been sent to the Office of Management and Budget (OMB) for review. The rule will be published after the review is completed, which typically takes 60 to 90 days. The proposed rule, officially dubbed the Retirement Security Rule: Definition of an Investment Advice Fiduciary, would broaden the definition of who qualifies as a fiduciary under the Employee Retirement Income Security Act. Under the published proposal, fiduciary duties would be extended to certain one-time recommendations, such as IRA rollovers, annuity sales and plan menu design sales to sponsors. Also, any financial professional exercising discretionary authority over retirement assets would be classified as a fiduciary. The text of the final rule will not be known until the OMB office finishes its review, and there could be modifications based on comments received from the public and DOL staff.
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