Bloomberg Law
Sept. 23, 2021, 6:49 PM

Companies Want More Time to Implement Fiduciary Exemption Rule

Austin R. Ramsey
Austin R. Ramsey
Reporter

Financial services companies have asked the U.S. Department of Labor for more time to implement a new rule, set to take effect in December, that would allow them to profit from one-time retirement plan rollover advice.

The Trump-era rule sets a “best interest” benchmark for investment advice—a lesser standard of responsibility than strict fiduciary measures. It defines a fiduciary by using a five-part test dating to 1975 that would allow advisers to profit from client advice to roll over assets from a federally protected retirement plan into an individual retirement account or state-regulated annuity.

Several U.S. trade organizations, including the ...