DOL: Rollover Recommendations May Constitute Advice; Proposes Prohibited Transaction Exemption
By EsqSocial Corporation 15/07/20
In a proposed class prohibited transaction exemption published on June 29, 2020 (the “proposed exemption”), the Department of Labor (DOL) stated that advising employee benefit plan (“plan”) participants to roll over plan assets to an IRA may constitute the type of investment advice that could render the adviser a fiduciary under ERISA and the Internal Revenue Code (“Code”). On that same date, the DOL issued a final rule reinstating ERISA’s five-part fiduciary investment advice test (the...<BR />By: <a href="https://www.jdsupra.com/profile/shearman_sterling/">Shearman & Sterling LLP</a>