Michael Kitces (@MichaelKitces), leading voice in the financial advisory industry, recently featured our MarketWatch op/ed in his recommended weekend reading and in a tweet.
In summary, the DOL has failed to address the biggest problem that naysayers have with the Fiduciary Rule; how to implement it. We are not alone in this thought either.
From Michael Kitces, “the history of fiduciary law makes it clear that just trying to manage risk through diversification is not sufficient to meet the diligence standard. Of course, it is feasible to “outsource” due diligence to third parties who do it, there aren’t necessarily very many sources of third-party objective due diligence. Which raises the question of whether/what kind of scrutiny the DOL will put on an advisor’s due diligence process.”
Read our entire MarketWatch op/ed. here
For more on the fiduciary rule click here.
This article originally published here on January 23, 2017.
Disclosure: David Trainer, Kyle Guske II, and Kyle Martone receive no compensation to write about any specific stock, style, or theme.