Objective information about retirement, financial planning and investments



  1. Good considerations. However, there are also many fiduciary advisers that have just as strong an incentive as brokers in convincing their current or prospective clients to move their 401k balances into their expensive managed programs. I see very little difference in the conflict of interest between those fiduciaries promoting the rule the change and the conflict of interest of brokers opposed to the rule. I am pretty convinced that many fiduciaries are not acting in the “best interest” of their clients when they make these recommendations for AUM products when their compensation is so significantly influenced by the consumers decision.

    • Roger Wohlner says

      Mark thanks for the comment. When it comes to expensive wrap programs and similar fee-based arrangements I agree with you. Generally the fees and the quality of the underlying investments are questionable at best. However I don’t consider a broker or registered rep using a fee-based program like what you describe to be acting as a fiduciary either, to me these are just another form of earning commissions and trailers. Fee-only is far different from fee-based.

  2. Great article! 😉

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