Wagner Law Group is a nationally recognized
ERISA and employee benefits, estate planning, employment,
labor & human resources and real estate practice.
in 1996, The Wagner Law Group is dedicated to the highest standards
of integrity, excellence and thought leadership and is considered to
be amongst the nation's most exceptional ERISA and employee benefits
law firms. The firm has six offices across the country,
providing unparalleled legal advice to its clients, including large,
small and nonprofit corporations as well as individuals and
government entities worldwide. The Wagner Law Group's 27 attorneys,
senior benefits consultant and three paralegals combine many years of
experience in their fields of practice with a variety of
backgrounds. Seven of the attorneys are AV rated by Martindale-Hubbell
and six are Fellows of the American
College of Employee Benefits Counsel, an invitation-only
organization of nationally recognized employee benefits
lawyers. Six of the firm's attorneys have been named to
the prestigious Super
Lawyers list for 2016, which highlights outstanding
lawyers based on a rigorous selection process.
Wagner Law Group
Connecticut Avenue, N.W.
Fax: (561) 293-3591
7108 Fairway Drive
Palm Beach Gardens, FL 33418
East Kennedy Boulevard
Tampa, FL 33602
Francisco, CA 94104
100 South 4th Street, Suite 550
St. Louis, MO 63102
The DOL's New Fiduciary Rule
Becomes Applicable on
April 10, 2017
Are you Ready?
Dear Clients and Friends:
The U.S. Department of Labor's new fiduciary
"Conflict of Interest Rule" applicability date of
April 10, 2017, is fast approaching and the implications of
being a fiduciary (whether you have always been one or are going to
become one for the first time) are significant. As a fiduciary
investment adviser, in order to even begin preparing for the
application of the new Conflict of Interest Rule, you need a clear
and concrete understanding of:
- Your client.
Is it a Plan subject to Title I of ERISA? Is it an IRA or other
qualified retirement vehicle not subject to Title I of ERISA? Is
it a Coverdell Education Account or Heath Savings
Account? Is it another type of Retail Investor?
- Your services.
Are you providing discretionary investment management (which is
not eligible for Best Interest Contract Exemption
("BICE") relief) or non-discretionary investment
advice (which is eligible for BICE relief)? Have you
considered all offerings on both the brokerage and registered
investment adviser platform?
- Your compensation.
Do you receive "level" compensation or "transaction-based"
compensation? Have you clearly identified and considered ALL
sources of third party payments and internal mark-ups to
identify potential sources of variable compensation?
- Your products.
Do you recommend any insurance product or affiliated/proprietary
product for investment?
The answers to these questions
will guide you and enable an informed decision on what exemptive
relief, if any, is needed by April 10, 2017. Are you going to use the
Best Interest Contract Exemption, Prohibited Transaction Exemption
84-24, Prohibited Transaction Exemption 86-128, Level Fee Exemption,
Grandfathering, or Transition Exemption, to name a few? Are you going
to be on a level fee platform so as not to violate the prohibited
transaction rules of ERISA, and not in need of exemptive relief? What
about BIC for the Day....does that apply?
Most financial institutions have
determined (sometimes reluctantly) that some action for DOL fiduciary
preparedness is necessary in order to be properly poised for the
April 10, 2017 applicability date, despite the uncertainty on the
long-term status of the new Conflict of Interest Rule.
The Wagner Law Group's staff of
nationally recognized attorneys remains at the ready to advise you on
these crucial matters. Please do not hesitate to contact us in order
to make sure that you are properly prepared for the implementation of
the new DOL Conflict of Interest Rule on April 10, 2017.
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appearing herein may be reproduced with appropriate credit.
This Newsletter is provided for information purposes by
The Wagner Law Group to clients and others who may be interested in the
subject matter, and may not be relied upon as specific legal
advice. This material is not to be construed as legal advice or
legal opinions on specific facts. Under the Rules of the Supreme
Judicial Court of Massachusetts, this material may be considered