The Labor Secretary is expected to make the announcement at 11:30 EST, at an event held at the Center for American Progress, a Washington, D.C.-based think tank that advocates for progressive policy issues.
The event will come almost a full year after the proposed rule was released to the public.
The proposal attempts to address what DOL and the White House claim are systemic conflicts of interest in broker advisor models. The White House’s Council of Economic Advisors estimates that investors lose $17 billion a year to conflicted advice under existing regulations.
The proposed rule clearly favors fee-based compensation models for advisors to retirement plans and IRAs. The proposed Best Interest Contract Exemption would insist extensive new disclosure requirements on advisors hoping to earn commissions. Opponents of the proposal say that could make advisory services too costly to deliver for low-income Americans and low-balance retirement accounts.
The Journal reported that Sen. Elizabeth Warren, D-Massachusetts, is expected to attend next week’s event with Sec. Perez.
Last year, Warren flanked Perez at an AARP event marking the release of the proposal to the Office of Management and Budget.