Americans for Financial Reform Education Fund (AFREF) applauds the Labor Department for issuing this proposal to better allow and encourage retirement plans and pensions to consider sustainability factors like workers’ rights, racial justice, corporate governance, and climate change when investing.
26 organizations, led by the Consumer Federation of America urge reconsideration of the DOL policy allowing defined contribution plans to invest in private equity funds. Issues raised to the DOL over its original letter considering allowing such funds into private equity include: It fails to give
President Biden today issued an executive order that outlines the administration’s plan to manage the financial risks associated with the climate crisis. The order highlights the administration’s determination to use all the resources of the federal government to combat the threat that climate change poses to financial stability.
In a significant reversal, the Department of Labor (DOL) today announced they will not enforce the anti-sustainable investing rules that were hastily published in the final days of the Trump administration. The two rules, which went into effect in January 2021, would have made it much harder for retirement plans to integrate environmental, social and governance (ESG) risks into their investment practices.
The Department of Labor today dealt another blow to sustainable investing with a new rule aimed at private retirement plan fiduciaries. Incoming leadership at DOL must quickly reverse course on this rule and facilitate, rather than hinder, responsible retirement investing.
The regulators must act on the same principles in approaching fiduciary rulemakings; anything less leaves investors vulnerable to losing billions of dollars a year to ‘advisors’ who pitch investments that produce greater returns for themselves, but leave the clients earning less.
Retirement savers need the fiduciary rule, fully enforced, to help ensure they can enjoy a dignified retirement. See the story of Steve Wingate to learn what happens without this common-sense protection.
The Department of Labor should simply let the fiduciary rule, as written, take full effect. The effort to delay is nothing but an effort to buy time for creating a rationale to roll back the rule, and an abuse of a regulatory process set down in law. Enough.
Members of the Save Our Retirement coalition speak out forcefully against the Department of Labor’s proposed delay of the fiduciary rule, a common-sense protection that would ensure savers get the best advice possible.