Agency answers 34 adviser questions pertaining to the regulation's exemptions, including the best-interest contract exemption. <b><i>(More: <a href="http://www.investmentnews.com/section/fiduciary-focus" target="_blank">The most up-to-date information on the DOL fiduciary rule</a>)</i></b>
Following on a rule issued over the summer concerning state plans, the DOL is forging ahead with one governing city-based programs.
While financial institutions are able to sell deferred-income and immediate annuities under a less onerous exemption, some are opting to sell under BICE to keep certain compensation arrangements intact.
'This first set of FAQs will focus on some of the questions that have been raised in connection with the exemptions,' Borzi said. <b><i>(More: <a href="http://www.investmentnews.com/section/fiduciary-faq" target="_blank">A comprehensive, searchable database of advisers' fiduciary FAQs</a>)</i></b>
Determining adviser compensation under BICE is likely the "single most complicated thing" in the rule, according to attorney Fred Reish.
The plans in public school districts &mdash; often a "laissez-faire" type of arrangement exposing teachers to high-fee products &mdash; won't be helped by the new regulation.
Broker-dealers can try shielding themselves from risk as much as possible, but lawsuits are inevitable and could prove difficult to defend, attorneys said.
Average adviser has roughly 1,800 hours available in work year, but approximately 60% of it spent 'on crap,' Pershing's Tibergien says.
The broker borrowed $300,000 total from two clients in violation of Finra rules and firm policy.
The ever-present push toward lower-fee products and services plays a large role in advisers' consolidation of providers.
