Petitions Urge Leaders to Push for Better Retirement Investment Standard
Preparing for a Congressional hearing this week, AARP Iowa volunteers delivered nearly 6,000 petitions from Iowans to Iowa Senate District offices during the Memorial Day Recess, and on Tuesday, AARP delivered more than 33,000 petitions including signatures from Iowans and residents from every state to the U.S. Department of Labor all in support of creating a higher standard to prevent conflicts of interest in retirement advice.
“While a number of investment advisers also support a rule requiring advice to be in the best interest of clients, some opponents have recently weighed in with comments that offer timeworn code words for harming consumers,” said Nancy LeaMond, Chief Advocacy and Engagement Officer, AARP. “We delivered petitions today to ensure that all, not just some, financial advisers put their clients’ interests first. Many opponents of the new rule, who are asking for delays or say the regulatory costs are too high, are simply looking to protect high fees at the expense of consumers. But consumers deserve advice in their best interest, not advice that benefits the adviser.”
In addition to forwarding petitions to the Department of Labor, AARP volunteers continue their efforts with Congress to prevent legislation that seeks to stop or slow an updated “best interest” standard. Each year hidden fees, unfair risk and bad investment advice rob Americans of $17 billion of retirement income.
AARP plans to submit comments to the Department on the proposed rule in the weeks ahead. The petition delivery today included over 33,000 signatures and follows an initial petition delivery in May that included over 26,000 signatures that support eliminating conflicts of interest in retirement advice. “It is important that the Department hear from individuals who are negatively impacted by the current standard, not just financial firms who benefit from it,” said LeaMond.”