Treasury and DoL eyeing regulation of retirement income

The Labor and Treasury departments are discussing jointly submitting a request for comment from members of the retirement income industry to determine if there needs to be regulation of the market.
APR 12, 2010
The Labor and Treasury departments are discussing jointly submitting a request for comment from members of the retirement income industry to determine if there needs to be regulation of the market. “There has been an increasing interest in the pension and savings community in the notion that we can do more to help people manage their funds in retirement,” J. Mark Iwry, senior adviser to the secretary of the Treasury and deputy assistant secretary for retirement and health policy, said in an interview today. The agencies don't have a timetable for when they will submit the request for comment. A call to Gloria Della, a Labor Department spokeswoman, had not been returned by deadline. Washington insiders said that the Labor Department and Treasury want to get a better sense of how products like annuities can be used within 401(k) plans in a seamless manner. “We are expecting that this request for information from DOL and Treasury will ask what can be done to better facilitate income options within defined-contribution plans,” said James M. Delaplane Jr., a partner at Davis & Harman LLP. Meanwhile, Sens. Jeff Bingaman, D-N.M., Johnny Isakson, R-Ga., and Herb Kohl, D-Wis., yesterday introduced a bill that would require employers to disclose to employees how much in retirement income they could expect from their defined-contribution plan account if they rolled it into an annuity product. “In our 401(k) system, it is not enough that participants make the choice to save. Then they have to decide how much to save, where to invest their savings, and how to make the best use of it when they retire,” said Mr. Kohl, in a statement announcing the bill. “This bill will help millions of Americans make the best choices for a secure retirement.”

Latest News

Want to get the most out of alts? You’ll have to do your homework
Want to get the most out of alts? You’ll have to do your homework

Advisors who expect an edge from alternatives' illiquidity premium – without understanding the underlying terms and explaining them to clients – have a world of learning to do.

'Finfluencer' Ponzi scheme defrauds investors of over $20M
'Finfluencer' Ponzi scheme defrauds investors of over $20M

The social influencer Tyler Bossetti pleaded guilty to wire fraud and aiding in the filing of false tax documents as a result of the real estate scheme, which ran from 2019 to 2023 and used platforms including Facebook and YouTube.

US annuity sales see sixth straight $100B+ quarter
US annuity sales see sixth straight $100B+ quarter

The latest LIMRA data release shows continued growth in RILAs, variable annuities, and FRD products, though researchers argue more education is still needed.

RIA moves: Thiel's Indivisible welcomes Ride Wealth Partners, $4B Beacon snaps up Astor
RIA moves: Thiel's Indivisible welcomes Ride Wealth Partners, $4B Beacon snaps up Astor

Indivisible Partners builds on its strategy to take turf in the independent space with its latest move in Colorado.

Advisor moves: LPL adds $425M Evermark Investment Partners, $300M Merril Lynch group hops to Ameriprise
Advisor moves: LPL adds $425M Evermark Investment Partners, $300M Merril Lynch group hops to Ameriprise

LPL's latest addition, a San Diego team defecting from RBC, represents a milestone for the broker-dealer giant's Strategic Wealth model for wirehouse breakaways.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave