The Department of Labor (DOL) has officially delayed the applicability dates of the new Fiduciary Regulations. The new timetable follows:
The applicability date, its exemptions, and compliance standards have been moved from April 10, 2017 to June 9, 2017.
The DOL will complete its mandated study and announce what actions, if any, will be taken as a result, no later than January 1, 2018.
This approach eliminates the need for any transition agreements and disclosures that were required and should provide relief about concerns of potential client confusion. The DOL stated that making the Impartial Conduct Standards effective on June 9, 2017 provides significant protection to retirement plans and retirement investors.
This is in response to President Trump’s directive to reassess the rule to determine if it limits investors’ access to financial advice or causes an increased potential of litigation for firms. As the DOL conducts its review, further delay may be expected. Read the official press release here.
We will send out additional updates as more information becomes available. Should you have any questions, please don’t hesitate to contact us