Sometimes they are not. Its already confusing to begin with. We need one standard and it ought to be the best interest. I love the one standard. I love the best interest tests. I assume there are a lot of people who are making a lot of money. So ive got to see, this one seems like a nobrainer to me. Hard working americans who manage money for their retirement should be able to trust that their retirement advisers are looking out for them. And besides that the thousands of honest hard working advisers and brokers around this country who already put their clients first every day shouldnt have to compete against those unethical advisers who dont. I understand why were in this fight. I understand there are people who are making money for keeping this game rigged, but we dont work for them. Time to level the playing field. Thank you mr. Secretary. Thank you mr. Chairman. I want to introduce senator kasich who will be brief within thinks five minutes and i think well have enough time to hear
We can get straight to their testimony. First, peter snyder, president of a grnlg company which i visited before. Thank you for being here peter. Peter is the leader of Financial Services providing income Retirement Savings options and insurance to millions of americans. Mr. Sflieder became president and served before that as the executive Vice President for primerica. We welcome you here today. Thank you. We have some scott purit managing contractor of defiance i. R. A. In maryland. He is a retirement director. A masters degree from harvard university. Welcome and thank you for being here. At this time, id like to turn it over to the rank and member frank and introduce ms. Miller. Thank you mr. Chairman. Its my pleasure to introduce Darlene Miller who is joining us today from my home state. Ms. Miller is the president and ceo of Permac Industries in burnsville minnesota, a Manufacturing Company that provides precision small part machines to other industries. Permac was named the u. S.
The speaker pro tempore on this vote the yeas are 242. The nays are 175. The resolution is adopted. Without objection, the motion to reconsider is laid on the table. Pursuant to clause 8 of rule 20 the Unfinished Business is the question on agreeing to the speakers approval of the journal which the chair will put de novo. The question is on agreeing to the speakers approval of the journal. Those in favor say aye. Those opposed, no. In the opinion of the chair, the ayes have it. The journal stands approved. The gentleman from california is recognized. Mr. Speaker, i ask for a recorded vote. The speaker pro tempore a recorded vote is requested. Those favoring a recorded vote will rise. A sufficient number having arisen, a recorded vote is ordered. Members will record their votes by electronic device. This will be a fiveminute vote. [captioning made possible by the national captioning institute, inc. , in cooperation with the United States house of representatives. Any use of the closedca
Blogger undeniably some bad apples, this is not a case about bad people doing bad things. The majority of folks and nospace are trying to do the right thing every day. Enough of the problem is good people operating within a structurally flawed system. A market that sees personal financial interest of the advisor in the firm all too frequently missed the links in the best interest of the country. The result is what we saw happen. Our goal is straightforward to align the best interest of the customer what does that the advisor in the firm. The proposed rule in the product of a significant amount of average to stakeholders. I appreciate support from so many in the industry. People are trying moynihan, ceo of bank of america is bank of america is it doing what is in the best interest for customers is absolutely the right thing to do. Founder of vanguard very strong supporter will hear from the witness sure they have played in this space every day as a fiduciary work in the small investors
Other sister agency. Its a meritorious move. You said is, quote, good people operating in a flawed system. Would you explain that . Sure. There is a misalignment between the incentives that a person giving advice has and the best interest of the consumer. So, for instance, again, getting back to the tofels, if you have four or five different products under the current suitability rule that are suitable and product the first product, the variable annuity generates 26,000 a year in fees and another product, which would have a comparable return has a fraction of those fees, you have per verse incentive to steer them to the product that generates the most fees. And again, that is totally permissible so im not casting aspersions on the person that does it. Im saying thats not right. And we can device a system and i underscore what i said in my testimony, theres a substantial number of people, including one of the witnesses who will come up on the next panel, that operate under a fiduciary m