The National Tax-deferred Savings Association (NTSA) has formally affirmed its support for a fiduciary standard for all not-for-profit organizations, and the extension of the Labor Department’s fiduciary rule to governmental 403(b) plans and participants.
NTSA, an independent, non-profit association dedicated to the 403(b) and 457(b) marketplace, chose to embrace the standard, even though the Labor Department’s fiduciary rule does not apply to governmental retirement plans.
“This policy is in keeping with NTSA’s long-standing support for effective and clear disclosure of fees, compensation and alternatives within 403(b) plans,” says NTSA Executive Director Chris DeGrassi.
As part of its support for this new standard, NTSA, in conjunction with its parent organization, the American Retirement Association, began development of a fiduciary education program in advance of the final Labor Department rule, and will make the program available to its members later this year, ahead of the April 10, 2017, implementation date of the fiduciary regulation for private-sector plans, such as 401(k)s and IRAs.“NTSA and NTSA partners have led on these issues for many years, and will continue to work to advance professional standards in the best interests of public education employees that need these important services our members provide,” DeGrassi says. “America’s teachers need and deserve access to the best, and most transparent financial advice as they work to prepare for their future, and NTSA’s members have long been an integral part of that planning.”