DOL fiduciary rule delayed

The new applicability date is June 9, 2017.

Last Friday, April 7, the Department of Labor (DOL) formally posted in the Federal Register the final rule delaying the applicability date of the fiduciary rule by 60 days to June 9, 2017. The rule also amends the Best Interest Contract Exemption (BICE) and Prohibited Transaction Exemption 84-24 during the period June 9, 2017 to December 31, 2017.

This delay, as well as the amendments noted above, allows time for the DOL to conduct an economic and legal analysis of the regulation and revise or rescind the rule if it is inconsistent with priorities outlined in President Trump’s February 3 memorandum. Now that the delay and the amendments noted above are posted to the Federal Register, we are moving quickly to study and make sure we understand all of the implications of these newly changed regulations. Stay tuned for further communications as we complete our review.

It is important that we all realize that even with this delay, the dialogue with the DOL continues. The next key deadline is April 17, the close of the 45-day comment period for stakeholders to provide suggestions regarding potential revisions to the fiduciary rule.

We will continue to keep you apprised of further developments as they become known. In the meantime, please know that we have not made any changes to our new business submission requirements for Monday, April 10, 2017. As always, thank you for your business.