Hultgren Supports Bill to Keep Investment Options Open for Americans
Washington, DC – U.S. Representative Randy Hultgren (IL-14) has cosponsored H.R. 1090, the Retail Protection Investor Act, which would protect retail financial planners and their customers from the Department of Labor’s (DOL) planned rule to expand the definition of a fiduciary. This move would restrict the number of investment products financial advisors could offer to their Main Street customers, including restricting a customer’s ability to roll over 401(k) workplace savings plans into Individual Retirement Accounts (IRA) with the assistance of their trusted financial advisor. This action limits Americans’ financial options and further extends federal regulatory control into Americans’ financial planning decisions.
“I have heard loud and clear from my constituents, including from many who work in the 41 Edward Jones offices and the 30,000 small investors they serve throughout the 14th District. They tell me that what the President advertised last week as a consumer protection will actually restrict the options of Americans who plan for their future—from putting money away for their children’s education to investing in their own retirement. The increased compliance costs imposed on financial planners would harm Main Street customers who may lose out on the full range of options available. Forward-thinking Americans would lose out,” said Rep. Hultgren. “We should provide consumers with enough information and options to decide for themselves what they need, in consultation with their trusted financial advisor, instead of making that decision for them. Allowing for a diversity of options lets financial planners best serve their customers.”
The Retail Protection Investor Act delays the proposed rule until the Securities and Exchange Commission (SEC) issues its own fiduciary rule, and requires the SEC to study alternatives to a uniform fiduciary standard and the impact of such a standard on everyday investors.
Rep. Hultgren is a member of the House Financial Services Committee. Before serving in Congress, he was a Vice President at Performance Trust Investment Advisors in Chicago and is credentialed in FINRA Series 7, 6 and 63.