While I’ve not read the Dept of Labor proposal, on the face it appears to target conflicts of interest that troubled me until deciding to become a “fee-for-service” financial planner at the end of 2000. My company, Trusted Financial Advisors has never been financed through commissions, hidden 12b1 fees or the like. This is still relatively rare in the financial services arena. For anyone in the industry who fears the end of commissions for advising retirement accounts, my experience is that the unity of purpose it brings to working for client betterment is sufficiently rewarding.
“Battle looms over retirement advisor conflict-of-interest rule”
LA Times | Dean Starkman
NEW YORK — A newly proposed rule to ban retirement planners from creating conflicts of interest with their customers might appear to put an end the years-long policy fight over the issue.Don’t bet on the retirement on it. The battle is just beginning, proponents of the rule said.
The regulation requiring advisors to put clients’ interests first is designed to halt planners from, among other things, steering unknowing customers into high-cost, poorly performing investments that pay planners more but cost retirees dearly. Read More
