We the People vs. Wall Street

The story of David and Goliath is usually told when someone who is facing daunting odds and isn’t supposed to win does just that — wins. Whether it’s an underrated Cinderella story in March Madness, the Cubs and the World Series — if they ever get there again — or when Wall Street actually loses to “we the people.” These stories are sadly all too few. But today we scored one for the little guy: The Obama administration finalized the …

Brokerages May Be Getting More Tools to Protect Older Clients

En español | A securities industry group recently proposed changes to how brokers and their firms handle accounts in an effort to protect older consumers and vulnerable clients against fraud. Investment firms have been increasingly concerned about the financial exploitation of older clients, particularly those who might suffer from dementia or other cognitive impairment. But many firms say they’re limited by regulations governing just how much they can intervene. Currently, regulations require firms to protect a client’s privacy, so firms …

Why AARP Backs a New Retirement Plan Advice Rule

Yesterday was the due date for comments on a rule proposed by the U.S. Department of Labor that would protect people with 401(k)s and IRAs from conflicts of interest in the financial services industry. AARP filed our official comments yesterday, one on the new rule and one on the new proposed best interest contract exemption. The rule, proposed in April, requires all retirement plan advisers to provide advice in their clients’ best interest. That is the simple goal underlying the …

Labor Department Proposes Rule to Save Retirees Billions

Financial advisers would have to adhere to more stringent standards when giving advice on 401(k) plans, IRAs and other retirement accounts under a rule proposed Tuesday by the U.S. Department of Labor. The proposed rule would protect people saving for retirement from being steered into accounts with high fees and commissions that benefit the adviser at the expense of the saver. It would force financial professionals to act in the best interest of their clients — a move that advocates say would …

The $64,000 Question: Where Did My Retirement Savings Go?

Investment advice should be free of conflicts of interest The way Americans save for retirement has changed drastically over the past few decades. Thirty years ago, the typical worker had a pension through his or her job. Today, if workers have a retirement plan at all, it is likely a 401(k) or IRA. Why does this matter? Because now more than ever, individuals must make the complicated decisions about financial security in retirement: what to invest in, how much, how to …