DOL Issues FAQs Clarifying Required Fiduciary Status Disclosures under ERISA Section 408(b)(2) During Fiduciary Investment Advice Rule Transition Period | Practical Law
On August 4, 2017, the Department of Labor (DOL) released FAQs regarding service providers' obligations to disclose their status as fiduciaries under Section 408(b)(2) of the Employee Retirement Income Security Act of 1974 (ERISA) during the transition period in effect under the fiduciary investment advice regulation issued under Section 3(21)(A)(ii) of ERISA (29 U.S.C. § 1002(21)(A)(ii)) (fiduciary rule). The FAQs also address whether recommendations to contribute to a plan or recommendations on increasing contributions and plan participation qualify as fiduciary investment advice.