The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:The White House Takes Up a Fight Over IRAs Not Rated 0.0 Email Routing List Email & Route  Print Print
Friday, January 23, 2015

The White House Takes Up a Fight Over IRAs

Reported by Neil Anderson, Managing Editor

Advisors working with IRAs may soon face new restrictions, as expected, and it looks like the White House is throwing its weight behind the changes.

You may have heard your 401(k)-focused colleagues babbling on and off for years about the Department of Labor's (DoL's) plans to redefine fiduciary status. Now that proposed redefinition is almost here, and President Barack Obama's top staffers are preparing talking points on the subject. IRA industry, beware.

Last week the chairman and a member of the White House Council of Economic Advisors circulated a memo about the DoL's soon-to-be re-proposed regulation. The bulk of the memo is devoted to briefing staffers on relevant academic research and to an overview of related regulations overseas.

Much of that research focuses not on 401(k)s but on IRAs, and 401(k) rollovers to IRAs. The memo's authors see billions of dollars in excessive fees and underperformance thanks to advice from what they describe as "conflicted" financial advisors, often times related to rollovers.

The five-page memo devotes only a single paragraph to a brief, non-detailed hint as to what the DoL's regulation will actually include. That paragraph includes an assurance that the DoL's plan "allows businesses to continue using existing, conflicted business models," but with extra "consumer protections" thrown in. 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q3Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use