The Department of Labor has issued a long-awaited revamped proposed fiduciary rule today, its latest attempt to protect investors from conflicted investment advice. There’s a 75-day notice and comment period. Expect comments to pour in again; then there will be another round of public hearings; more comments; and at some point a final rule?
What’s the fuss about? There’s a lot of money at stake. A White House Council of Economic Advisers analysis estimated that these conflicts of interest result in annual losses of about 1 percentage point for affected investors—or about $17 billion a year in total.