It looks like it is going to be reality. On September 23, the 408(b)(2) regulation (which will require disclosure of fees and potential conflicts of interests of all service providers to ERISA retirement plans) was submitted to the Office of Management and Budget. This is generally the last step in the process before final approval.
It is expected that "final regulations should be issued by November 1, 2008."
If approved by November 1, the regulation should be issued in final form by Thanksgiving. If the effective date of 408(b)(2) for all new contracts is January 1, 2009, this will not provide a great deal of time to update and modify all service contracts to meet the new requirements.
Stay tuned for more information...
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