The 5th Circuit Court of Appeals ruled on March 15 that the Labor Department overstepped its authority by creating the so-called fiduciary rule, parts of which went into effect last year. In general, the rule requires advisors and brokers to put their clients’ interests before their own when advising on retirement accounts such as 401(k) plans and individual retirement accounts.
“Pending further review, the [Labor Department] will not be enforcing the 2016 fiduciary rule,” an agency spokesman said in a statement to CNBC.
‘Enforcement 40’ for 2020
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