For weeks, rumors have swirled as to when the Labor Department would unveil its new fiduciary regulation – but that long wait could be coming to an end.
Published reports in Politico and The Wall Street Journal citing unnamed sources both say that Secretary of Labor Thomas Perez will unveil the much-anticipated regulation at an as-yet-unannounced event on April 6 at the Center for American Progress, a think tank closely allied with the Obama administration.
A number of Democratic lawmakers are expected to be in attendance at the event, including Sens. Elizabeth Warren (D-Mass.) and Cory Booker (D-N.J.).
The fiduciary regulation has been under review at the Office of Management and Budget (OMB) since late January. Before agency rules are published, they are reviewed by the OMB’s Office of Information and Regulatory Affairs, which has up to 90 days to act.
The regulation has been a subject of intense scrutiny and controversy ever since its reintroduction almost exactly a year ago, and the controversy has not lessened in the months that have followed, with hundreds of comment letters, four days of testimony, and the introduction of legislation designed to delay and/or thwart the regulation, as well as numerous letters from lawmakers on both sides of the aisle urging caution in the approach.
Webcast
Assuming the regulation is made public as anticipated, NAPA members can get a head start on the implications via a special members-only webcast slated for April 12 at 4:00 p.m. ET. David Levine of Groom Law Group and Marcy Supovitz, President of ARA and former President of NAPA, will outline what’s in the new rule and what it means for advisors and their clients.
The webcast will:
- Explain what constitutes “investment advice” under the final regulation
- Analyze the changes that were made from the original proposal
- Discuss how IRAs and rollovers are affected
- Describe the revised best interest contract exemption
You can register for this special complimentary webcast for NAPA members here.
NAPA 401(k) Summit Sessions
The fiduciary regulation and its implications will be a big focus at the upcoming NAPA 401(k) Summit, April 17-19, in Nashville, Tenn. Experts and industry insiders will be sharing insights in four different sessions:
- General Session #1: From the Hill to the Summit
- Workshop 5: BICE Uneasy? — Understanding the Scope and Practical Effect of the Fiduciary Rule’s Best-Interest Contract Exemption
- Workshop 23: “Rolled” Models? Impact of the Fiduciary Proposal on Different Business Models, with leading advisory firm executives sharing insights on their preparations for, and potential responses to, the rule
- a special added session on Monday, April 18 to deal with the issue(s)
Check it out at www.napasummit.org.
