Whatever the trumped up reason they put forth, taking away this protection from brokers and advisors who wrongly, fraudulently recommend their own products or services to clients –regardless if it’s the best for the client, or their financial needs or situation.
“Trump’s directive puts consumer protections that were on the way for traditional and Roth IRAs, 401(k)s and some health savings accounts into question.
“At minimum, this means consumers must do their own due diligence before hiring financial advisors and brokers. That includes researching an advisor or brokerage firm before hiring them and choosing one that already acts as a fiduciary.”
Starting this week, people who don’t have access to a retirement savings plan at work will have an easier time setting aside cash.The myRA program, a government backed retirement plan first announced by President Obama in 2014, has now launched nationally, the Treasury department said Wednesday. The myRA is a form of Roth IRA, which allows workers to save their after-tax dollars for retirement. It’s aimed at overcoming some of the obstacles that keep some workers from saving for retirement, especially those who are low-income or who lack retirement benefits: The myRA charges no fees, is low-risk and convenient.
“LIKE millions of retirees who assumed their companies had taken care of them, Ronald Tussey never thought that his retirement plan might be flawed. He trusted his company so much he kept his money in his 401(k) long after he left.
Having worked as an engineer for 37 years, ultimately at ABB Inc., where he retired 11 years ago, Mr. Tussey said he never paid much attention to the fees in his retirement plan and “assumed the company was looking out for my best interests.”
But after seeing a television program on the negative impact that 401(k) expenses can have on retirement savings, he hired a lawyer, who filed a class-action lawsuit in 2006 against ABB and plan administrators.”