The Fiduciary Rules Channel


“Active funds are now 71% overweight in the FANG companies after making the biggest move from value to growth since 2008.". . . Bank of America

Weekly Unemployment Claims: Up 3K, Slightly Worse Than Forecast

Today's seasonally adjusted 241K new claims, up 3K from last week's revised number, was slightly worse than the forecast of 240K.

Active vs. Passive

Many investors seem to be stuck in the middle of the false dichotomy between active and passive investing. At RBA, we argue it’s much more important for investors to ascertain which active or passive portfolio to buy and when to own it.

Some of Our Team Members are Lazy

Some of our team members are lazy. They will say they are busy doing client work or following investments but then they are gone at 3 p.m. on a Friday.

The Ratio of Part-Time Employed Now at Recession Levels

Let's take a close look at Friday's employment report numbers on Full and Part-Time Employment. Buried near the bottom of Table A-9 of the government's Employment Situation Summary are the numbers for Full- and Part-Time Workers, with 35-or-more hours as the arbitrary divide between the two categories. The source is the monthly Current Population Survey (CPS) of households. The focus is on total hours worked regardless of whether the hours are from a single or multiple jobs.

No more delays for the DOL fiduciary rule

Department of Labor (DOL) Secretary Alexander Acosta announced in a Wall Street Journal op-ed last week that the initial implementation date of the fiduciary rule will not be extended beyond June 9. Mr. Acosta’s decision is a victory for supporters of the rule, which will require financial advisors to act in the best interests of their clients in retirement accounts.

The Bernie Madoff Fraud: Five Lessons for Investors from 'The Wizard of Lies'

Here are the top five red flags – and lessons – that more seasoned investors should have seen and that average investors should learn from the Bernie Madoff scandal.

A Proven Way to Budget Clients’ Spending

To better serve and retain retired or soon-to-be retired clients, advisors should use the actuarial budget benchmark, an annual spending plan developed using actuarial and financial economic principles.

Jack Bogle on the Limits of the Fiduciary Rule and the Future of the Advisory Industry

Speaking two weeks after his 88th birthday, Jack Bogle called the fiduciary rule “silly” and said that financial advisors’ fees are heading lower. Indeed, he said, advisors are destined to charge hourly or retainer fees, like lawyers and accountants.

Why the Future is Bright for AUM-Based Advisors

Over the past several months, I have been reading Dan Solin’s thought pieces in Advisor Perspectives[1] and believe his gloomy outlook for the planning profession, and, more specifically, for advisors who are compensated via AUM-based fees, is misguided.

DOL Throws New Lifeline to Lifetime-Income Solutions

The defined contribution (DC) community has been buzzing about lifetime-income products lately. It’s a topic that’s been dormant for several years, but there are good reasons for renewed interest.

The 5 Costliest Financial Regulations of the Past 20 Years: A Timeline

Last year, the Federal Register—the U.S. government’s depository of rules and regulations—hit an all-time high of 81,640 pages. Among the industries that bear the greatest regulatory oversight is financials, which has seen a disproportionate amount of scrutiny in recent years, especially following the 9/11 attacks and subprime mortgage crisis.

NewsLetter - May 2017

Harold Evensky's newsletter to his readers.

Take Action: Five Ideas for DC Plan Sponsors

Active management has the potential to provide diversification, generate income and mitigate the risks of higher inflation and rising rates.

USAA’s Unique Strategy for the Advisor Market

Keith Sloane serves as head of third-party distribution and Steve Fry is director of analyst relations at USAA Investments. I spoke with them about their strategy for serving advisors and the 60 million families with connections to the U.S. military, which has been USAA’s traditional focus.