Bice

DOL Fiduciary Rule Class-Actions Costs Could Top $150M a Year

Assuming the Department of Labor’s fiduciary rule survives the river of legal and legislative challenges, the brokerage industry should expect to absorb between $70 million and $150 million annually in class-action litigation costs. The price-tag range, calculated by Morningstar senior equity analyst Michael Wong, is on top of the $1.5 billion annual cost to the industry, as estimated by the …


Opinion: DOL Fiduciary Rule Promotes a ‘Business Form of Skydiving’

The possibility of death always confronts skydiving thrill-seekers. Even with the most extreme degrees of caution — having top-notch equipment, ensuring for good weather — jumping out of a plane carries a certain level of risk. The Labor Department’s fiduciary rule is similar, in that the specter of litigation lurks no matter the compliance caution taken by brokerages and other financial …