PLANADVISER - November/December 2021 - 8

compliance news //
Legislative and Judicial Actions
Transitional Relief for
Investment Advice Rules
The Department
of
ered nonfiduciary under the Employee
Retirement
Income
Labor
(DOL)'s
Employee Benefits Security Administration
(EBSA) has issued Field Assistance
Bulletin (FAB) 2021-02, " Temporary
Enforcement Policy on Prohibited
Transactions Rules Applicable to
Investment Advice
FAB provides that
Security
Act
Fiduciaries. " The
investment advice
fiduciaries now have until January 31,
2022, to comply with the impartial
conduct standards included in fiduciary
prohibited transaction exemption (PTE)
2020-02, which the DOL announced at
the end of last year.
For context, effective this February
16, the DOL implemented an expanded
definition of " fiduciary advice. " Experts
say this new definition will cause many
registered investment adviser (RIA)
services that were previously consid(ERISA)
to now be deemed prohibited
transactions and subject to a fiduciary
best interest standard of conduct. PTE
2020-02, also implemented on February
16, supplies the conditions under which
fiduciaries who give investment advice
to ERISA-covered pension plans and
individual retirement accounts (IRAs)
have the latitude to recommend rollovers
and receive compensation.
Prior to this, in 2018, the 5th Circuit
Court of Appeals had vacated the DOL's
2016 regulations reinterpreting ERISA's
definition of " fiduciary. " In 2017, the
Trump DOL issued a temporary nonenforcement
policy-in FAB 2017-02 and
reissued in FAB 2018-02-stating the
agency would not pursue prohibited
transaction claims against investment
advice fiduciaries who work
diligently and in good faith to comply
with the impartial conduct standards
the agency had subsequently supplied.
This nonenforcement policy was due to
expire this December 20.
The DOL extended the date, saying
it understands that a December 20
deadline posed practical difficulties
for financial institutions. These institutions
expressed concern that they
would incur significant additional
costs to distribute disclosures, because
December 20 does not align with their
regular distribution cycle for disclosures.
They also had asserted that the
expiration date would make it hard
to conduct the required retrospective
review on a calendar-year basis.
Further, the DOL says, the institutions
maintained that they faced significant
challenges in implementing the rollover
documentation and disclosure require8
| planadviser.com November-December 2021 Art by Johnny Dombrowski

http://www.planadviser.com

PLANADVISER - November/December 2021

Table of Contents for the Digital Edition of PLANADVISER - November/December 2021

A Shift in the Tech Landscape
Strength in Diversity
Future Faces
A Workforce in Flux
Fee Models Are Shifting
Nonenforcement Policies
‘Window’ of Opportunity
PLANADVISER - November/December 2021 - Cover1
PLANADVISER - November/December 2021 - Cover2
PLANADVISER - November/December 2021 - 1
PLANADVISER - November/December 2021 - 2
PLANADVISER - November/December 2021 - 3
PLANADVISER - November/December 2021 - 4
PLANADVISER - November/December 2021 - 5
PLANADVISER - November/December 2021 - 6
PLANADVISER - November/December 2021 - 7
PLANADVISER - November/December 2021 - 8
PLANADVISER - November/December 2021 - 9
PLANADVISER - November/December 2021 - 10
PLANADVISER - November/December 2021 - 11
PLANADVISER - November/December 2021 - 12
PLANADVISER - November/December 2021 - 13
PLANADVISER - November/December 2021 - 14
PLANADVISER - November/December 2021 - 15
PLANADVISER - November/December 2021 - 16
PLANADVISER - November/December 2021 - 17
PLANADVISER - November/December 2021 - A Shift in the Tech Landscape
PLANADVISER - November/December 2021 - 19
PLANADVISER - November/December 2021 - 20
PLANADVISER - November/December 2021 - 21
PLANADVISER - November/December 2021 - 22
PLANADVISER - November/December 2021 - 23
PLANADVISER - November/December 2021 - Strength in Diversity
PLANADVISER - November/December 2021 - 25
PLANADVISER - November/December 2021 - 26
PLANADVISER - November/December 2021 - 27
PLANADVISER - November/December 2021 - 28
PLANADVISER - November/December 2021 - 29
PLANADVISER - November/December 2021 - Future Faces
PLANADVISER - November/December 2021 - 31
PLANADVISER - November/December 2021 - 32
PLANADVISER - November/December 2021 - 33
PLANADVISER - November/December 2021 - A Workforce in Flux
PLANADVISER - November/December 2021 - 35
PLANADVISER - November/December 2021 - Fee Models Are Shifting
PLANADVISER - November/December 2021 - 37
PLANADVISER - November/December 2021 - Nonenforcement Policies
PLANADVISER - November/December 2021 - ‘Window’ of Opportunity
PLANADVISER - November/December 2021 - 40
PLANADVISER - November/December 2021 - Cover3
PLANADVISER - November/December 2021 - Cover4
https://www.planadviserdigital.com/planadviser/winter_2023
https://www.planadviserdigital.com/planadviser/fall_2023
https://www.planadviserdigital.com/planadviser/summer_2023
https://www.planadviserdigital.com/planadviser/industryleader_2023
https://www.planadviserdigital.com/planadviser/spring_2023
https://www.planadviserdigital.com/planadviser/november_december_2022
https://www.planadviserdigital.com/planadviser/september_october_2022
https://www.planadviserdigital.com/planadviser/july_august_2022
https://www.planadviserdigital.com/planadviser/may_june_2022
https://www.planadviserdigital.com/planadviser/industry_leader_awards_2022
https://www.planadviserdigital.com/planadviser/march_april_2022
https://www.planadviserdigital.com/planadviser/january_february_2022
https://www.planadviserdigital.com/planadviser/november_december_2021
https://www.planadviserdigital.com/planadviser/september_october_2021
https://www.planadviserdigital.com/planadviser/july_august_2021
https://www.planadviserdigital.com/planadviser/may_june_2021
https://www.planadviserdigital.com/planadviser/march_april_2021
https://www.planadviserdigital.com/planadviser/january_february_2021
https://www.planadviserdigital.com/planadviser/november_december_2020
https://www.planadviserdigital.com/planadviser/september_october_2020
https://www.planadviserdigital.com/planadviser/july_august_2020
https://www.planadviserdigital.com/planadviser/may_june_2020
https://www.planadviserdigital.com/planadviser/march_april_2020
https://www.planadviserdigital.com/planadviser/january_february_2020
https://www.planadviserdigital.com/planadviser/november_december_2019
https://www.planadviserdigital.com/planadviser/september_october_2019
https://www.planadviserdigital.com/planadviser/july_august_2019
https://www.planadviserdigital.com/planadviser/may_june_2019
https://www.planadviserdigital.com/planadviser/march_april_2019
https://www.planadviserdigital.com/planadviser/january_february_2019
https://www.planadviserdigital.com/planadviser/november_december_2018
https://www.planadviserdigital.com/planadviser/september_october_2018
https://www.planadviserdigital.com/planadviser/july_august_2018
https://www.planadviserdigital.com/planadviser/may_june_2018
https://www.planadviserdigital.com/planadviser/march_april_2018
https://www.planadviserdigital.com/planadviser/january_february_2018
https://www.planadviserdigital.com/planadviser/november_december_2017
https://www.planadviserdigital.com/planadviser/september_october_2017
https://www.planadviserdigital.com/planadviser/july_august_2017
https://www.nxtbookmedia.com