Los Angeles partner Bruce Ashton was quoted in a CQ Roll Call article titled, “Republicans Look to Modify Investment Advice Rule.” The article discusses Republicans’ latest efforts to impede the fiduciary rule scheduled to take effect next month. Senator Johnny Isakson said he is preparing legislation that would rewrite the rule so that workers don’t lose access to professional help with their retirement savings.
The Labor Department proposed a 60-day extension to review the rule and delay the applicability date. Bruce noted that the department is not expected to overturn the rule, but rather ease requirements for the financial services industry. If the rule is modified, it is likely to go through the DOL’s regulation process – a less contentious measure than going through Congress, and potentially less time-consuming.
“If it looks like the DOL is either going to delay things for too long or if it looks like the DOL is not going to make the kinds of changes the Republicans would like to see, then I think Congress will get into the act,” Bruce said.