If you haven’t already, expect to hear from your financial advisor soon about a great new investment opportunity for your IRA.
The reason: There’s a loophole in a strict new rule that requires advisors to act in their clients’ best interests when counseling them about retirement funds. That loophole allows advisors to continue lining their pockets at the expense of yours until the federal rule takes effect April 10, 2017, and even beyond.
In my latest for NerdWallet, find out why the Labor Department has had enough.
I wonder how long this rule stays in place. The lobbyists will be out in full force to try to get it overturned. Also I’m curious what the fiduciary standard will do to the fees charged by record keepers. I imagine the rule will have minimal impact on fund lineups