This is very meaningful for retirement investors. The DOL Fiduciary Rule's Impartial Conduct and Best Interest Advice standards WILL BE IN EFFECT STARTING JUNE 9, 2017!
For Investors, this means:
1) Best Interest Advice for you2) Reasonable costs for advice and investments3) No misleading the investorIf someone advising you breaks these rules, you have recourse.
Over the long term this should mean you end up with more money in your retirement nest egg.
This includes:1) Advice on your 401(k) investments - if an advisor suggests or recommends what you should buy in your 401(k) account - and is compensated for that advice.2) AND THIS IS A BIG ONE THAT WAS NOT COVERED BEFORE,Advice on the decision WHETHER OR NOT to roll money out of your 401(k)-type account into to an IRA, and,3) IF IT IS IN YOUR BEST INTEREST, to roll out of your 401(k)-type plan and into an IRA, advice on money in your IRABEWARE getting advice from a non-fiduciary before June 9, as they may recommend you do something that would be in their interest, but not yours.
So to recap:
-- IF you already work with a fiduciary -- such as a Registered Investment Adviser, not much will change - you should already be getting advice that's in your best interest - on ALL your investment accounts, retirement or not.-- BUT, IF you are being advised by a non-fiduciary -- stock broker, insurance agent/producer/consultant, a financial advisor, wealth manager or many other titles, you may not have had advice or recommendations that were in YOUR best interest.On June 9, all the advice you get on your retirement investments will have to be in your best interest. !!!THIS IS GREAT NEWS FOR INVESTORS!
