The company's "criminal epidemic" caused its stock price to tumble, leading to hundreds of millions in losses that 401(k) fiduciaries didn't try to prevent, according to allegations.
Providers such as MassMutual and Mercer have recently unveiled new services, part of a trend seeking to capitalize on disruption caused by the DOL fiduciary rule.
Move could pressure other wirehouses to follow suit and lead to adviser attrition. <b>Plus, <a href="http://www.investmentnews.com/section/fiduciary-focus" target="_blank">Find answers to all of the most frequently asked questions on DOL fiduciary rule</a>.</b>
Current CEO John Thiel (right) will step down on Jan. 1. <b><i>(Related read: <a href="http://www.investmentnews.com/article/20150408/FREE/150409924/merrill-lynchs-john-thiel-urges-colleagues-to-work-with-dol-on" target="_blank">Merrill Lynch's John Thiel urges colleagues to work with DOL on fiduciary rule</a>)</b></i>
IMS Securities, a shop with around 110 brokers, didn't have adequate supervisory procedures in place to ensure brokers weren't abusing annuity exchanges.
The wirehouse is the first major firm to announce concrete plans for compliance with the Labor Department regulation.
The Portland-based breakaways are setting up a new firm called Allium Financial Advisors.
Lawsuit argues plan wasn't diversified. Case doesn't fit prevailing litigation theme of targeting multibillion-dollar retirement plans for excessive fees.
Some brokerages know what their new annuity commissions will be in response to the regulation. Why are they staying quiet? <b><i>(More: <a href="http://www.investmentnews.com/section/fiduciary-faq" target="_blank">The top FAQs on the DOL fiduciary rule</a>)</i></b>
The 13-person team felt they would have more flexibility outside the Morgan framework.
