Two legal challenges in Texas have delayed the fiduciary rule, which was supposed to take effect on September 23. Although the industry was initially surprised, these challenges were not entirely unexpected. Bonnie Treichel, an ERISA attorney and Founder of Endeavor Retirement, stated in an interview with 401(k) Specialist that advisors who are already following the current fiduciary regulations won’t find these challenges too difficult to handle.
“For these advisors, they put policies and procedures and appropriate forms—and in some cases tools—in place to comply with the five-part test when it was reinstated and when PTE 2020-02 was finalized,” she said. “The change under the new fiduciary rule package only nominally impacted these advisors, so a stay does not change things and honestly is just noise and unnecessary distraction.”
The article, by Amanda Umpierrez provides action items for industry professionals to remain compliant with existing regulations as they wait for the outcome of the final regulation.
To read more, click here ERISA Attorneys Outline Next Steps After Fiduciary Rule Stays (401kspecialistmag.com)