Business groups sue government over Obama administration retirement rule

[LuckyTheDog]

A coalition of leading business groups announced a lawsuit Thursday aiming to block new regulations set forth this year by the Labor Department. The new regulations are designed to protect retirement savers from conflicts of interest in the market for financial advice.

The group argued the rule would limit the choices available to investors and impinge on the services offered by financial advisors and their firms, reviving a bitter dispute that has followed the rule since it was first proposed in the 2010 Dodd-Frank Act.

“Instead of helping savers plan for retirement, the new rule will unfortunately restrict their access to affordable retirement advice and limit their options for saving,” the group wrote in a joint statement. “The rule will shackle Main Street financial advisors with extensive new requirements and constant liability, forcing them to limit the options and guidance they provide to retirement savers.”

The rule, a top priority of the outgoing Obama administration, requires insurance brokers, retirement advisors and other financial professionals to avoid monetary conflicts of interest when offering financial advice to holders of 401(k)s and individual retirement accounts, or IRAs.

MORE HERE: http://yonside.com/business-groups-sue-retirement-rule-2/

[tonyt53]

1. In other words, the new rules limit just how much employee pension money goes back to the company

Those investment firms were buying huge amounts of stock back into those same companies of those employees. The companies were receiving the benefit of those funds directly, even though those funds belong to their employees. Company tanks, those employees lose. Good rule.

[Uben]

2. We need the names of the businessmen who are against it.

They're trying to hide behind the groups mentioned here. Betcha the Kook brothers and Shitt Romney are among them.