SIFMA Statement on DOL Decision Not to Delay Fiduciary Rule

Washington, DC, May 23, 2017 – SIFMA today released the following statement from Kenneth E. Bentsen, Jr, SIFMA president and CEO, on Department of Labor Secretary Acosta’s decision not to further delay the fiduciary rule beyond June 9, 2017:

“SIFMA has long-supported the creation of a best interest standard for brokers who provide personalized investment advice, and we continue to believe that the SEC is the appropriate regulator to do so. We look forward to working with the Administration and Congress on the creation of a best interest standard that protects all retail investors, while preserving choice and investment services without raising costs.

“While we are disappointed that the Department of Labor has chosen not to further delay the rule until the Department has completed a review of the entire rule’s impact on investors, we appreciate Secretary Acosta’s recognition of the rule’s negative impact and his desire to seek public input.

“In anticipation of the rule taking effect, SIFMA’s members have been working for the past eighteen months to develop the systems and processes to ensure compliance. We hope that upon the Department’s completion of its wholesale rule review, they will conclude, as we believe the evidence clearly shows, that dramatic and fundamental changes are appropriate and necessary.”

SIFMA is the voice of the U.S. securities industry. We represent the broker-dealers, banks and asset managers whose nearly 1 million employees provide access to the capital markets, raising over $2.5 trillion for businesses and municipalities in the U.S., serving clients with over $18.5 trillion in assets and managing more than $67 trillion in assets for individual and institutional clients including mutual funds and retirement plans. SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (GFMA). For more information, visit http://www.sifma.org.