On Your Side?

In this episode of Talking Real Money, hosts Don McDonald and Tom Koch dissect the ongoing battle over fiduciary standards in financial advice, particularly focusing on the Department of Labor's failed attempts to enforce a 100% fiduciary rule for retirement plan advisors. They expose how organizations like the Federation of Americans for Consumer Choice—funded by the insurance industry—have repeatedly sued to block these rules, arguing they're 'bad for consumers,' despite serving industry interests. The hosts emphasize that true fiduciary advice is rare, and even 'best interest' and 'suitability' standards are often hollow, allowing conflicts of interest to persist. They warn listeners that rolling retirement funds into IRAs without vetting advisors can expose them to high-fee, low-quality products. The episode concludes with a listener call from Andre, a 52-year-old public employee with strong retirement savings, who receives personalized feedback on his aggressive asset allocation. The hosts advise him to reduce risk, simplify his portfolio, and consider a glide path strategy, while also cautioning against overcomplicated tools like Delaware Statutory Trusts (DSTs) for tax deferral, calling them expensive and illiquid. Despite the challenges, the hosts stress that listeners must take personal responsibility for their financial decisions.