These are the flip side of the 10th Amendment States Rights mantra that State government personnel are starting to tout. And that makes State governors’ and legislators’ objections to the Trump administration’s moves to clip the intrusive wings regarding investment advice to retail investors and who should be permitted/required to give it a bit ridiculous.
[T]he Obama Labor Department’s fiduciary rule requires brokers to act in the best interests of retirement savers rather than sell products that are merely suitable and potentially more lucrative for the brokers.
Never mind that this would tacitly limit a retail investor’s investment options, limiting him to too-conservative alternatives, and price many out of the investment advice market. Big Brother knows better.
Individual States are fully capable of enacting their own fiduciary rules, as Nevada and Connecticut have done, for better or worse for their citizens, and as New York, New Jersey, Massachusetts, and California are considering doing, as is their right, and obligation to the extent they seriously see such a thing as a public good and not just a shower look good, under the 10th Amendment.
I think such overregulation is idiotic, as well as insulting to American citizens. We don’t need Government looking over our shoulder or telling us what to do and not to do in every aspect of our lives. But let’s find out.
Patchwork regulation if the States are left to their own devices? So what? Let the 50 laboratories of democracy try out their various ideas. We Americans can vote with our dollars as well as our feet regarding which experiments work and which don’t.