Trump halts fiduciary rule

[RI]

On top of trying to take out Dodd-Frank, Trump is killing the fiduciary rule requiring retirement brokers to have their clients' best interests in mind. For the life of me, I can't understand why you'd undo this other than from a crass excess of greed, malice, and selfish negligence.

[Dr. Arch]

lol, so much bs. All of it completely indefensible.

[publicunofficial]

If you're a successful businessman, Trump respects you and believes everything you say. So when his CEO golfing buddies tell him regulation is out of control, he buys it.

[JA]

I guess "muh populist Trump" applies only to his bigoted targeting of immigrants, Muslims, Hispanics, and foreigners. He'll quickly sign another xenophobic EO and any anger over this will quickly be forgotten.

[Antonio the Sixth]

On top of trying to take out Dodd-Frank, Trump is killing the fiduciary rule requiring retirement brokers to have their clients' best interests in mind. For the life of me, I can't understand why you'd undo this other than from a crass excess of greed, malice, and selfish negligence.

And that's surprising how...?

[Torie]

Boo! This is an issue that I know about, and care about. It's just disgusting that Trump is doing this. The financial industry when it comes to clients, does tend to be predatory. That's why I tell everyone who is amenable to listening to put their money in index funds at Vanguard, and keep the financial predators and "pornographers" far, far away from their money.

So we are back to the rule, that no, you can't put a client's money into muni bonds from NY, if they are in a low tax bracket and live in CA, but you can with impunity put them into financial instruments that generate the most fees for the broker or advisor, at the expense of the client, you know, like many annuities, or the Putnam Funds, for example, that have very high expense ratios, but give generous commissions to brokers.

[Wiz in Wis]

Boo! This is an issue that I know about, and care about. It's just disgusting that Trump is doing this. The financial industry when it comes to clients, does tend to be predatory. That's why I tell everyone who is amenable to listening to put their money in index funds at Vanguard, and keep the financial predators and "pornographers" far, far away from their money.

Done. I was literally picking my 401k options on another tab and decided on a Vanguard index because of this.

[Torie]

Boo! This is an issue that I know about, and care about. It's just disgusting that Trump is doing this. The financial industry when it comes to clients, does tend to be predatory. That's why I tell everyone who is amenable to listening to put their money in index funds at Vanguard, and keep the financial predators and "pornographers" far, far away from their money.

Done. I was literally picking my 401k options on another tab and decided on a Vanguard index because of this.

Great. It is always nice when I do a bit of good in this world. Thanks for the note! 

[🦀🎂🦀🎂]

wow smash those globalists!

[RI]

Boo! This is an issue that I know about, and care about. It's just disgusting that Trump is doing this. The financial industry when it comes to clients, does tend to be predatory. That's why I tell everyone who is amenable to listening to put their money in index funds at Vanguard, and keep the financial predators and "pornographers" far, far away from their money.

Done. I was literally picking my 401k options on another tab and decided on a Vanguard index because of this.

I've been looking into IRA options, and Vanguard's a pretty clear choice.

But regardless, a lot of regular, working people are going to get screwed over by this move.

[Blue3]

So Trump is not governing like a populist but like a generic, Bush-type Republican? I am shocked.

You kidding? He's not doing either.

[(Still) muted by Kalwejt until March 31]

If you're a successful businessman, Trump respects you and believes everything you say. So when his CEO golfing buddies tell him regulation is out of control, he buys it.

[ApatheticAustrian]

So Trump is not governing like a populist but like a generic, Bush-type Republican? I am shocked.

well, bush didn't campaign on economical populism, did he?

[KingSweden]

I work in finance.

My firm is already a fiduciary and many firms are moving this direction anyways. I should note that my understanding is that this is a one year delay - I could be wrong.

"Fiduciary" is a broad standard. I personally think the "suitability" standard that exists is way too vague, but from what I've heard (admittedly biased) many managers were panicking about some pretty stringent stuff coming down the pike, including stripping lawsuit protections and SRO arbitration

[Torie]

I work in finance.

My firm is already a fiduciary and many firms are moving this direction anyways. I should note that my understanding is that this is a one year delay - I could be wrong.

"Fiduciary" is a broad standard. I personally think the "suitability" standard that exists is way too vague, but from what I've heard (admittedly biased) many managers were panicking about some pretty stringent stuff coming down the pike, including stripping lawsuit protections and SRO arbitration

Yes, those who charge exorbitant fees were vulnerable, which was precisely the idea.

[Sbane]

On top of trying to take out Dodd-Frank, Trump is killing the fiduciary rule requiring retirement brokers to have their clients' best interests in mind. For the life of me, I can't understand why you'd undo this other than from a crass excess of greed, malice, and selfish negligence.

He tricked you. Watch what he does with healthcare.

[Frodo]

You seem surprised.  Why?  Did you actually buy into Trump's con-game by which he tricked enough of the American people into supporting him to win the electoral college? 

Still, I guess better late than never.  Your eyes are now opened to the monster we have in the White House. 

[KingSweden]

I work in finance.

My firm is already a fiduciary and many firms are moving this direction anyways. I should note that my understanding is that this is a one year delay - I could be wrong.

"Fiduciary" is a broad standard. I personally think the "suitability" standard that exists is way too vague, but from what I've heard (admittedly biased) many managers were panicking about some pretty stringent stuff coming down the pike, including stripping lawsuit protections and SRO arbitration

Yes, those who charge exorbitant fees were vulnerable, which was precisely the idea.

The bigger issue is fiduciary rules potentially requiring firms to relinquish the ability to settle disputes with their clients via arbitration through their requisite SRO (i.e. FINRA or the MSRB) rather than civil court.

There are already rules on exorbitant fees, though they are effectively unenforceable.

[RI]

You seem surprised.  Why?  Did you actually buy into Trump's con-game by which he tricked enough of the American people into supporting him to win the electoral college?  

Still, I guess better late than never.  Your eyes are now opened to the monster we have in the White House.  

Almost everything else Trump has done I can see some logical rationale for. This one I can not.

[🐒Gods of Prosperity🔱🐲💸]

How do they enforce a rule that applies to what a financial planner has in mind? 

[The_Doctor]

Is anyone from the White House or the Congressional Republicans even coordinating how their agenda is getting press and etc? It seems they've just trying to do as many unpopular things as possible and aggravate the country?

Is this some sort of get the insane crap done so they can move onto the good stuff?

[Rjjr77]

Devil's advocate here, if the fiduciary rule goes through a huge amount of small local financial planners and firms would fold.

[pbrower2a]

On top of trying to take out Dodd-Frank, Trump is killing the fiduciary rule requiring retirement brokers to have their clients' best interests in mind. For the life of me, I can't understand why you'd undo this other than from a crass excess of greed, malice, and selfish negligence.

Greed, malice, and selfish negligence. A belief that the corrupt ways of financiers in the Double-Zero Decade created prosperity when they ended up creating ruin for millions.

Maybe this time instead of "Too Big to Fail" we will have "Too Corrupt to Survive".

Ripping off clients is bad business.

[DC Al Fine]

Yes, this is bad. Shame on Trump for doing it.

How do they enforce a rule that applies to what a financial planner has in mind? 

It's a long convoluted process, but tl;dr

1) Client signs up with advisor and fills out a form outlining their investment objectives.
2) If advisor makes trades that do not meet said objectives, or chooses selects the higher commission option between two investments that both meet their objectives, they fail the standard.
3) If a client complains, one compares trades, statements and commission structures to examine if the advisor failed the standard.

[Absentee Voting Ghost of Ruin]

Is anyone from the White House or the Congressional Republicans even coordinating how their agenda is getting press and etc? It seems they've just trying to do as many unpopular things as possible and aggravate the country?

Is this some sort of get the insane crap done so they can move onto the good stuff?

This is the bit that makes me think the so-called president is either really a Russian agent or, more likely, effectively insane. All of this, everything his regime has done so far, everything the American NazisGOP wants to do, could be done carefully and deliberately over the next six months with a tiny fraction of the bad press and general awful handling that we're seeing.