Dow Jones – A Fiduciary Duty For IRA Rollovers

 Our Comment by J. David Lewis – This piece represents yet one more example of the many reasons people of our country should demand higher standards from the financial services professions.  We hope new regulations next year will require the fiduciary standard for every individual who may appear to be an advisor in their approach to investors.  Whether the government does or not, everyone should educate themselves in ways to find advisors who will put the clients’ interest first in all dealings.  There is more to money than money.®


“Many older retirees have fewer protections than younger investors who stash their money in government-regulated workplace savings plans, says a Harvard University economics professor.

That needs to change, according to David Laibson, who studies the relationship between aging and the ability to make financial decisions.

He’s concerned because older investors suffer the highest rates of dementia and other cognitive problems. That means they’re at greater risk of financial mismanagement and fraud, Laibson said during a recent conference in Baltimore for the nations state securities regulators. The inability to solve certain problems becomes profound by the time many adults reach age 65, he said. About half of retirees between ages 80 and 89 suffer from full-blown dementia or a lesser cognitive problem, he said.

Laibson called for a fiduciary duty to apply to the management of funds rolled over into IRAs…”  Read the article via Dow Jones – A Fiduciary Duty For IRA Rollovers.

Contact J. David Lewis directly with or share your thoughts on this topic below. He founded Resource Advisory Services in 1985.  National Association of Personal Financial Advisors (NAPFA) was formed only a few years before. Lewis became a NAPFA-Registered Financial Advisor in 1986.  He is a passionate advocate for fiduciary, fee-only financial planning and has been associated with financial services since childhood in a banking family. 


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