The Financial Times recently interviewed Lee Munson regarding the Department of Labor’s new fiduciary rule that is pushing ahead with a new share class of mutual funds called T-shares.
“T-shares are a hoax – I’m horrified that people are being put into these funds,” says Lee Munson, chief investment officer at Portfolio Wealth Advisors in Albuquerque, N.M., which manages more than $250 million.”
THE HORROR OF T-SHARES
Lee didn’t stop there, further on he told Murray Coleman how the flat-rate structure wasn’t cutting it.
“This is like trying to charge the same price for a Honda Civic as a Lexus sedan.”
It's still a Honda, folks
Ultimately, this is a overt loophole that allows stockbrokers, or those that sell financial products versus providing financial advice, to circumvent the new rules.
How does Portfolio Wealth Advisors plan to address the new fiduciary rules that require advisors to work in clients' best interest when working with retirement accounts?
“We don’t have to do a thing. Portfolio Wealth Advisors always acts as a fiduciary for our clients. So, while stockbrokers prepare for more regulation to protect their rights to NOT work in your best interests and charge high commissions for dubious so-called products, we continue to do the right thing for clients just like we have since the beginning. ”