Following an executive action by President Trump, the Department of Labor (DOL) submitted a proposal to the Office of Management and Budget (OMB) to delay implementation of its fiduciary rule by 180 days. OMB has now concluded its review, and the proposal could be opened to a public commentary period shortly.
Originally set to take effect on April 7, the fiduciary rule would place new burdens on those agents who market retirement plans, requiring them to place their customers’ best interests above their own. Not surprisingly, it has run into resistance among insurance agents and others who market retirement plans.
OMB didn’t specify a time-frame for public commentary on the proposed delay, but it did raise the proposal to the status of “economically significant.” This may result in a longer public commentary period.