Ameriprise will stick with IRA commissions under DOL fiduciary rule
Oct 26, 2016 @ 1:31 pm | By Bruce Kelly | Investment News
CEO says the commission model, which will require more compliance work on the company’s part, serves both clients and advisers well
In contrast to a couple of its most prominent competitors, Ameriprise Financial Inc. will stick with paying commissions to its brokers and advisers when working with clients’ retirement accounts under the new Department of Labor fiduciary rule.
Earlier this week, Commonwealth Financial Network, a leading independent broker-dealer, said it would stop offering commission-based products in individual retirement accounts and qualified retirement plans, making it the latest broker-dealer to move more decidedly toward a fee-based advisory platform to avoid what some see as the more onerous provisions of the Labor Department’s fiduciary rule.
Commonwealth’s move comes on the heels of Merrill Lynch‘s announcement that it will no longer offer new, adviser commission-based IRAs starting next April.
