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Washington –
U.S.
Senator
Tim
Scott
(R-SC)
issued
the following statement in
response
to the
Department
of
Labor
(DOL)
release
of
a
final
rule
impacting
consumer’s
access
to
retirement
investment
advice.
“Today’s
new
fiduciary
rule
issued
by
President
Obama’s
Department
of
Labor
hurts
families
who
are
simply
trying
to
plan
for
their
retirement,” Senator
Scott
said.
“As
it
imposes
a
seriously
flawed
new
set
of
regulations
that
create
burdensome
red
tape
and
reporting
requirements,
the impact
of
the
rule
will
quickly
be
felt
by
working
and
middle class Americans
across
the
country when
it drives
down
consumer
choice
and
increases
retirement
costs. This
is
yet
another
example
of
the
Obama
administration
overstepping
their
authority,
and I will
continue
to
fight
against
the
implementation
of
this
albatross
around
the
necks
of
hardworking
Americans."
Today,
Americans
hold
an
estimated
$3
trillion
in
individual
retirement
accounts. The
new
fiduciary rule
significantly
constricts
the
availability
of
financial
advice
related
to
pension
and
retirement
plans.
The
rule
will
be
particularly
harmful
to
low-
and
moderate-income
workers
seeking
advice
for
their
retirement
planning. Currently,
the
Securities
and
Exchange
Commission
(SEC)
already regulates
the
industry
to
prevent
fraud,
ensure
that
fees
are
disclosed,
and
protect
clients
from
unsuitable
investments.
Scott
sits
on
three
committees
in
the
Senate
-
the
Banking,
Housing
&
Urban
Affairs
Committee,
Finance
Committee
and
the
Health,
Education,
Labor
and
Pensions
Committee
-
with
direct
jurisdiction
on
this
issue.
He
formerly
was
a
small
business
owner
licensed
to
provide
financial
services
to
consumers.
The
rule
was
first
proposed,
and
subsequently withdrawn,
five
years
ago following
intense
opposition
by
consumers,
the
financial
industry
and
lawmakers.
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