Advice Bill To Make Comeback

June 20, 2001 ( - Representative John Boehner (R-OH) is expected to reintroduce the Retirement Security Advice Act later this week ? and he's said to be looking for co-sponsors.

The soon-to-be-reintroduced bill is reportedly identical to H.R. 4747, introduced nearly a year ago in the last Congress, according to the American Benefits Council.

That version would have dampened the impact of rules that effectively block a money manager from offering advice for a fee on assets it manages.

The approach advocated by Boehner’s original bill would allow money managers to offer participant advice, provided that such advice was accompanied by specific disclosures regarding the fees, services and relationship of the provider to the investment funds’ choices offered to participants.

Critics of the Boehner bill were concerned that the advice offered by investment managers is inherently conflicted, regardless of disclosures.

– Nevin Adams                    

For MORE on the original proposal, see The Advice Question