Lawmakers and industry officials debated the merits Thursday ofdraft legislation put forth by Rep. Ann Wagner, R-Mo., thatwould repeal the Department of Labor’s fiduciary rule and applya best interest standard to broker-dealers when providinginvestment advice.

During the Thursday hearing held by the House Financial ServicesCapital Markets Subcommittee titled the “Impact of the DOLFiduciary Rule on the Capital Markets,” Wagner, chairwoman of theHouse Financial Services Committee’s Oversight and InvestigationsSubcommittee, and a steadfast opponent of Labor’s fiduciary rule,stated that her discussion draft “would apply a workablebest interest standard for broker-dealers when providing investmentadvice without losing access for such advice for millions of low-and middle-income investors.”

Wagner stated that her draft bill also keeps the fiduciary issue“under the jurisdiction of the SEC, the expert regulator who hasthe experience of overseeing the industry.”

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Melanie Waddell

Melanie is senior editor and Washington bureau chief of ThinkAdvisor. Her ThinkAdvisor coverage zeros in on how politics, policy, legislation and regulations affect the investment advisory space. Melanie’s coverage has been cited in various lawmakers’ reports, letters and bills, and in the Labor Department’s fiduciary rule in 2024. In 2019, Melanie received an Honorable Mention, Range of Work by a Single Author award from @Folio. Melanie joined Investment Advisor magazine as New York bureau chief in 2000. She has been a columnist since 2002. She started her career in Washington in 1994, covering financial issues at American Banker. Since 1997, Melanie has been covering investment-related issues, holding senior editorial positions at American Banker publications in both Washington and New York. Briefly, she was content chief for Internet Capital Group’s EFinancialWorld in New York and wrote freelance articles for Institutional Investor. Melanie holds a bachelor’s degree in English from Towson University. She interned at The Baltimore Sun and its suburban edition.