Fi360 Update: As the Trump Administration moves to delay the DOL Rule, the marketplace moves forward on fiduciary accountability
Both opponents and proponents of the Department of Labor’s fiduciary rule have something to cheer about from February’s fast breaking developments summarized in the table below.
|February 3||Memo from President Trump to the Acting Secretary of the DOL to review the rule and, if findings warrant, proceed with a new rulemaking to change or overturn it.|
|February 8||Texas court decision summarily dismissing all of the plaintiffs’ complaints and refuting many common arguments against the rule.|
|February 9||DOL sends proposals to the Office of Management and Budget that will reportedly delay the rule’s scheduled April 10, 2017 applicability (aka compliance) date by 180 days and potentially initiate another rulemaking to revise or rescind the current rule.|
While the proposals now at the Office of Management and Budget will require comment periods upon return to the DOL, it is virtually certain that a 180-day delay in the rule will be imposed before April 10. It is also possible that a more industry-friendly version of the rule will be introduced during the delay. But that doesn’t mean we are likely to see the existing rule rescinded or a new rule imposed anytime soon – perhaps not for years.
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