Los Angeles partner Fred Reish and Chicago associate Josh Waldbeser were quoted in a ThinkAdvisor article titled, “Warning: Don't Expect Revisions or Reversals in DOL Rule.” Though there are several pending lawsuits against the DOL’s fiduciary’s rule, Josh noted that the DOL will be sensitive to reversing the course or timeline in any way, but that they will be sensitive to changing the meaning of the regulation through frequently-asked-questions.
Josh stated that the regulations under BICE (best interest contract exemption) are “certainly the ones that are the most administratively onerous,” but won't take full effect until Jan. 1, 2018, “so we do have a little cushion there.”
Fred commented on Merrill Lynch’s recent decision to cease offering commission-based IRA accounts.
“It's easier to comply with the DOL fiduciary rules through level-fee advisory services,” Fred said. “If BICE isn't used, the prospect of class-action lawsuits is diminished.”