Who Is Winning With the Fiduciary Rule? Wall Street – WSJ

Surprised? The brokerage business fiercely fought the new retirement advice rule. But so far for Wall Street, it has been a gift.The rule requires brokers to act in the best interests of retirement savers, rather than sell products that are merely suitable but could make brokers more money. Financial firms decried the restriction, which began…

Trump Wants to Do to the Fiduciary Rule What He’s Doing to the Climate

Donald Trump and the Department of Labor are delaying — and possibly killing — the fiduciary rule, which would have required investment managers to put their clients’ interests first instead of directing them to higher-fee options that benefit the money managers themselves. The White House’s Council of Economic Advisors found that the absence of this…

Why the Fiduciary Rule is Essential for the Economy

On Feb. 3 Trump also signed a presidential memorandum instructing the Labor secretary to evaluate a specific regulation placed on financial advisers. Known as the fiduciary rule, it requires brokers in charge of retirement plans to act in their clients’ best interest. The rule is set to take effect on April 10, but that may…

Inside Wall Street’s War Against the Fiduciary Rule | Money

For years, many brokers have been allowed to push expensive or risky investments, even if there were cheaper alternatives, under what was known as the “suitability standard”: Investment recommendations needed only be “roughly suitable” for the client. In practice, that means if your advisor is weighing two similar investments, and one pays out a greater…

Fiduciary Rule Announced, Challenges Expected

The Department of Labor has published its long-awaited fiduciary rule Labor Secretary Thomas Perez said, With the finalization of this rule, we are putting in place a fundamental principle of consumer protection into the American retirement landscape: A consumer’s best interest must now come before an adviser’s financial interest. This is a huge win for…

FINRA Sanctions Barclays Capital $13.75M for Unsuitable Mutual Fund Transactions, Related Supervisory Failures

The Financial Industry Regulatory Authority (FINRA) announced today that it has ordered Barclays Capital, Inc. to pay more than $10 million in restitution, including interest, to affected customers for mutual fund-related suitability violations. These suitability violations relate to an array of mutual fund transactions including mutual fund switches. Additionally, the firm failed to provide applicable…

Wall Street: Democrats Work To Block New Regulations After Flood Of Campaign Cash

The Obama administration’s efforts to rein in Wall Street face opposition from members of the president’s own party. In June, the Democratic Senatorial Campaign Committee attacked a Republican senator for having “supported repealing Wall Street Reform.” But the DSCC’s chairman, Sen. Jon Tester of Montana, is one of dozens of Democrats in Congress seeking to…