DOL May Make Changes Due to Advisor Feedback

In an article released today in Investment News, Timothy Hauser, the deputy assistant secretary of labor says that the DOL has listened to the thousands of advisors and industry groups on some of the most contentious issues surrounding the proposed regulations on fiduciary rules and how advisors are able to give advice to 401k and IRA participants. I suggest you read the article: via @newsfromIN

Keep up with the DOL's proposed regs here and in the news as this will quite possibly change the way the entire industry works. This is particularly true of advisors who sell commission products in qualified accounts. At the very least, your E & O coverage costs are likely to increase substantially, as advisors across the board will be held to a higher standard. In addition, when you consider the profitability of your practice, you will want to take a long look at your client service model. Your overall cost of doing business is likely to go up, so you will want to think about who your target client is going forward. The unfortunate fact is that there are a lot of investors who will not be able to benefit from the assistance of a professional advisor, because the advisors simply will not be able to afford to help them.