The Department of Labor announced yesterday that its fiduciary rule will take effect on June 9 without further delay. The regulation, which expands the definition of financial planners who must meet the fiduciary standard — meaning they must always act in the best interests of their clients and clearly disclose all fees — had been met with resistance from financial companies.
Even Donald Trump and some Republicans were against the original proposes date of implementation. Donald Trump ordered a delay of the original implementation date by 60 days.
Labor Secretary Alexander Acosta told the Wall Street Journal and Reuters that there was “no principled legal basis to change the June 9 date while we seek public input,” but also cautioned that the fiduciary rule didn’t necessarily track with the president’s “deregulatory goals.”