DOL Fiduciary Rule: The Fog Is Lifting
Even though a few industry-related advocacy groups are challenging the Department of Labor’s new regulation, firms, broker-dealers, and Registered Investment Advisors are beginning to abide by and implement the change. Aside from compensation strategies, most financial advisors I have spoken to agree that this regulation will have minimal effect on their business processes.
From an IRA and qualified retirement plan marketing standpoint, a key to your success will be to lead with education followed by product-specific and fiduciary-sensitive discussions with clients and prospects. You can continue providing non-product-specific and non-investment-recommendation education in your newsletters, seminars, worksite marketing, etc., without creating a Best Interest Contract trigger. Using a marketing process that educates prior to the specific product introduction, you will end up with more informed clients making the right buying decisions for the right reasons.