Honestly, I think most 401k plans are off-the-shelf items bought from the large asset management companies, purchased by executives who want to get rid of the vexing chore of setting up a retirement plan that benefits the employees.
Tag "Tamar Frankel"
“Perhaps the continued confusion can be expected given that the term ‘best interest’ is not defined in Reg BI and the word ‘fiduciary’ is not used in defining the new standard. It makes it harder to understand.”
“…the best efforts of those focused on product, not investors, are ultimately doomed to failure.”
For that to work, however, it’s not enough to change the titles brokers use – to make them call their sales representatives “salespeople” and call their services “sales recommendations” – you’d also have to completely change the way they market themselves so that their marketing messages are consistent with their regulatory status.
We hold these fiduciaries to be self-evident… This is not the beginning of the end, it is the end of the beginning…
The DOL changed the original ERISA definition of Fiduciary to exempt marginal players. Those players are no longer marginal.
Let’s recognize the researchers, scholars, policymakers, regulators and tireless advocates who work to advance fiduciary principles.
