- 11,457
This only applies to selling Fixed Indexed Annuities for IRAs and other qualified retirement plans:
1) You are only held to a suitability standard (or your state's standard) rather than the Fiduciary standard.
2) This means that, if you are sued, you won't be held liable for putting your own interests first. (Obviously the recommendation still needs to be suitable for the client.)
3) If you were going to be sued, you'd be sued in court rather than arbitration.
4) Commission disclosures are no longer necessary for these recommendations.
Just off the top of my head. But really, it does help to keep on top of these things. It's been in the works for a few years now, but I'm glad it's finally dead. Right now, the only surviving remnant of it, is the SEC figuring out some differences between broker/dealers and RIAs.
1) You are only held to a suitability standard (or your state's standard) rather than the Fiduciary standard.
2) This means that, if you are sued, you won't be held liable for putting your own interests first. (Obviously the recommendation still needs to be suitable for the client.)
3) If you were going to be sued, you'd be sued in court rather than arbitration.
4) Commission disclosures are no longer necessary for these recommendations.
Just off the top of my head. But really, it does help to keep on top of these things. It's been in the works for a few years now, but I'm glad it's finally dead. Right now, the only surviving remnant of it, is the SEC figuring out some differences between broker/dealers and RIAs.
