Fiduciary Rule Update: Department of Labor Issues Proposed Extension of Fiduciary Rule Applicability Date

By Cynthia Boyle Lande

On March 1, the Department of Labor issued a Proposed Rule extending the effective date of the Fiduciary Rule from April 10, 2017 to June 9, 2017. The Department’s issuance of the Proposed Rule is in response to the Presidential Memorandum issued February 3, 2017, directing the Department to further examine the Fiduciary Rule to determine how it has impacted or will impact individuals and the retirement services industry. The Proposed Rule also seeks comments on the issues identified in the February 3 Presidential Memorandum, including how the Fiduciary Rule protects investors; how the Fiduciary Rule harms retirements services professionals; whether the Fiduciary Rule will limit investors’ access to quality retirement services and investment products; and whether alternatives to the Fiduciary Rule exist. The Department will be accepting comments on the Proposed Rule through March 17, 2017. BrownWinick will continue to monitor changes in this area.