President Trump's initial draft memo, later revised, may have spelled out the administration's coming plans: to delay the rule for six months and seek a stay in the legal proceedings.
Scrapping or revising the law could lead to the disappearance of the Harkin Amendment, which would pave the way to indexed annuities being classified as securities rather than insurance products.
Delaying implementation of the Labor Department rule is the first step Republicans and the finance industry are eyeing as part of a broader overhaul of the measure.
Many broker-dealers &mdash; including Merrill Lynch, Morgan Stanley and Wells Fargo &mdash; are preparing for the changes in operations the rule would have created. <b>Plus: <a href="//www.investmentnews.com/section/video?playerType=INTV&bctid=5309561439001&date=20170203"" target=""_blank"" rel="noopener noreferrer">Advisers react to Trump's DOL rule decision</a></b>
A final version of the document does not direct the DOL to delay the rule for six months, nor does it tell the agency to consult with the Department of Justice to seek a stay of the litigation surrounding the rule.
The move scrambles the fierce six-year battle over the rule, which would require financial advisers to act in the best interests of their clients in retirement accounts. <b>Plus: <a href="//www.investmentnews.com/section/video?playerType=INTV&bctid=5309561439001"" target=""_blank"" rel="noopener noreferrer">Advisers react to Trump's DOL fiduciary rule decision</a></b>
President Trump's decision to halt the DOL fiduciary rule drew mixed reactions from industry professionals.
The claimants alleged the Connecticut investment bank negligently supervised its broker.
The DOL is expected to prepare an updated economic and legal analysis concerning the likely impact of the rule.
The chairman of the House Rules Committee said in a letter that the rule would foist “mountains of paperwork” on financial planners while denying “access to quality investment advice” to millions of investors.
Some experts anticipate the Trump administration will abandon the legal fight, but that hasn't happened yet.
The record keeper joins three others &mdash; Fidelity, Voya and Xerox &mdash; in being sued over its relationship with the advice provider.
Speculation is mounting as to what is taking the administration so long to act. Is President Trump waiting for his DOL secretary nominee to be approved? Or is he finding it harder to repeal than expected?
Lobbying group for independent broker-dealers lays out its annual agenda
Size of award called "extraordinarily rare" by one securities attorney. <i><b>(More: <a href="//www.investmentnews.com/article/20160923/FREE/160929957/brokerages-walking-away-from-arbitration-awards"" target=""_blank"" rel="noopener noreferrer">Brokerages walking away from arbitration awards</a>)</i></b>
Calling it a "disaster," he claimed it has been responsible for cutting off loans to small businesses.
Data analytics could help them more easily uncover breaches of suitability in investment product sales.
Markets have risen since the president was elected, but his personality makes it difficult to discern when he is serious and when he is beating his drum for effect.
Not every adviser can be nominated for a Bully, just those who displayed a complete disconnect from their ethics in the course of impersonating a client or some big shot.
Insurers are speeding up their closures of L-share products as regulators crack down, but are quickly introducing new fee-based contracts.
