The Department of Labor (DOL) held hearings on its proposed prohibited transaction exemption (PTE) for investment advice fiduciaries. Over the last decade, the Financial Services Institute (FSI) has been engaged with DOL, the SEC and the states on the issue of establishing an industry-wide best interest standard. FSI provided the following statement in light of the hearing.
“We support DOL’s proposal, and we commend the Department’s efforts to align its rules with the SEC’s Regulation Best Interest (Reg BI),” said Dale Brown, FSI’s president and CEO. “There is room for improvement, which we explained in our comment letter. However, it is imperative that DOL continues moving forward with the rulemaking process in order to ensure clarity and consistency as to the obligations of financial professionals.”
