U.S. Department of Labor annual report on retirement savings

Biden Admin Enforces New Rule Over Wall Street Objections to Protect Retirement Savers

Apr 23, 2024, 05:04 PM

The Biden administration, through the Department of Labor (DOL), has introduced a new rule aimed at enhancing the integrity of financial advice given to retirement savers. This rule, finalized over objections from Wall Street, mandates stricter fiduciary standards for retirement plan advisers, ensuring they act in the best interests of their clients and scrapping junk fees. The move comes in response to concerns that financial advisors, influenced by kickbacks from insurance companies, have been giving detrimental advice, costing families significant portions of their retirement savings. The rule has faced opposition from some quarters, including certain lawmakers, who argue that it could limit investment options and impose a regulatory burden on savers.