RJ and Makay

If the Labor Department's proposed definition of "fiduciary" is adopted, the outcome could be higher costs for employer-sponsored retirement plans, cautions the Competitive Enterprise Institute (CEI), a free-market think tank.

Under the proposed definition, the fiduciary standard would be expanded to include firms that advise retirement plan sponsors about which investments to offer. The intent would be to prevent conflicts of interest, such as making investment recommendations simply because they result in more money for advisors.