DOL's New Fiduciary Rule Will Align With SEC Reg BI: Rutledge

Preston Rutledge, head of the Labor Department’s Employee Benefits Security Administration, said Monday that Labor’s upcoming fiduciary rulemaking will align with the Securities and Exchange Commission’s Regulation Best Interest.

The SEC is set to vote on Reg BI Wednesday. Rutledge, who replaced former EBSA head Phyllis Borzi, the architect of the now-defunct DOL fiduciary rule, said at an event held by the Organization for Economic Cooperation and Development that Labor will align its fiduciary rule “in order to mitigate the confusion that different regulations create,” according to a tweet from the OECD.

At @OECD today, @USDOL A/S Rutledge announced Labor will align with the potential finalization of #SEC's Regulation Best Interest rule, in order to mitigate the confusion that different regulations can create. #Americans must be able to access high quality retirement advice. pic.twitter.com/Dnpxn7HfuZ

— United States @ OECD (@USOECD) June 3, 2019

Labor Secretary Alexander Acosta told lawmakers on May 1 that Labor is collaborating with the SEC as it works on its advice-standards package, which includes Reg BI, and that “based on our collaborative work, we will be issuing new rules in this area.”

— Check out What BD Execs Expect From Reg BI on ThinkAdvisor.