On Eve Of Fiduciary Rule, Even Fiduciaries Harbor Doubts

Labor Secretary Thomas Perez will announce the final version of the fiduciary rule, which will establish a fiduciary standard for advice delivered on retirement accounts, at the Center for American Progress, according to recent reports.

As the financial industry counts down to the anticipated release of the U.S. Department of Labor’s fiduciary rule on Wednesday morning, the rest of the world spins unaffected.

The debate over the rule has taken place in the absence of those account holders—and largely outside of the public consciousness, said Dave Edwards, president of Heron Financial Group, an RIA in New York.

“This has been a battle entirely behind closed doors, and that’s part of the reason it’s such an important debate,” Edwards said. “Previously, Mr. and Mrs. America didn’t know about the fiduciary standard until someone like me realizes they’ve been totally hosed by the costs of an investment. They’re largely oblivious. I don’t have any expectation that when this rule finally goes through, the public will notice any difference.”

Read the full article at Financial Advisor Magazine