3 years 1 week ago
Thank you, your discussion was packed full of important information that will serve to help me better understand and keep up with 2020-02.
I will certainly look for future episodes and topics.
So, technically, it’s not a “rule”—but after years of debate, hearings, comments, litigation and preparation, there are some new rules regarding investment advice—and some help for retirement plan advisors. Fred Reish and Nevin Adams take a look at the implications.
Last week the U.S. Department of Labor’s Employee Benefits Security Administration issued guidance on fiduciary investment advice for retirement investors, employee benefit plans and investment advice providers. The guidance relates to the department’s “Improving Investment Advice for Workers & Retirees” exemption and follows its Feb. 12, 2021, announcement that that exemption would go into effect as scheduled on Feb. 16, 2021.
Noted ERISA attorney Fred Reish and ARA Chief Content Officer Nevin Adams take a look at the implications of PTE 2020-02, and what it means for retirement plan advisors, including:
- A new focus on rollover advice
- Important clarity on the “regular basis” part of the traditional 5-part test
- Removal of a reliance on the private right of action as “enforcement”
- How this all ties in with the SEC’s Reg BI
- Some cautionary words on disclaimers
- Some clarity on rollover recommendation disclosures
And how this could actually provide an advantage for retirement plan advisors.
Check out the discussion below:
