As hard as it is for families to ensure a secure future in these difficult economic times, the last thing you need to worry about is whether their financial advisor are looking to increase their own profits at your expense. A current loophole in the law allows financial advisors to do just that, and some have recommended investments carrying higher fees, riskier features, and lower returns to further their own gains. This loophole has cost Americans at least $17 billion per year, as much as 25% of retirement income or 5 years’ worth of savings.
A Department of Labor rule would ensure all financial advisers put their customers’ interest above all else. Even though this seems to be fair, Wall Street and much of the financial services industry strongly oppose this rule. Their champions in Congress have proposed legislation preventing this rule from taking place. AARP on behalf of its 1.3 million NJ members wants to protect the retirement future of those being ill-served by this loophole, and calls on Congress to reject this legislation, and uphold this critically important rule.