This afternoon, President Trump signed a presidential memorandum order imposing a 180-day delay of the Department of Labor’s (DOL) “Fiduciary Rule.” The order directs the DOL to cease implementation of, and completely reevaluate, the Fiduciary Rule. The President expects the DOL to either significantly change or rescind the Fiduciary Rule.
The Fiduciary Rule, originally effective June 7, 2016, was scheduled to become applicable on April 10, 2017, with full compliance required beginning January 1, 2018. The Fiduciary Rule extended the ERISA fiduciary standard of care to broker-dealers, investment advisers, insurance agents, banks, and other advisors to retirement plans and IRAs.
We will keep you posted with any further developments. If you have any questions in the meantime, please contact Lisa Zimmer at lzimmer@wnj.com or 248.784.5191 or Shane Hansen at shansen@wnj.com or 616.752.2145.
