LPL Standardizes Brokers’ Product Commissions

Posted on September 27th, 2016 at 9:29 AM
LPL Standardizes Brokers’ Product Commissions

From the Desk of Jim Eccleston at Eccleston Law LLC:

LPL Financial is changing the way it pays commissions to its brokers when they sell routine investment products like mutual funds and variable annuities.

The move was made because of the final Department of Labor Fiduciary Rule issued in April. The new rule issued by the DOL has made it necessary for LPL to standardize commissions and share classes it pays brokers when they sell all investment products, not just retirement accounts.  LPL also is working on standardizing commissions for alternative investment products like non-traded real estate investment trusts and fixed insurance products.

LPL executives believe that the streamlining of brokerage commissions is important because it eliminates the potential for conflict when brokers sell different annuities at different prices. LPL also plans on cutting prices and easing minimums on some of its internally managed model wealth portfolios in anticipation of the DOL fiduciary rule.

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

 

 

Related Attorneys: James J. Eccleston

Tags: Eccleston, James Eccleston, Financial Counsel, Eccleston Law, Eccleston Law LLC, LPL Financial, DOL, commissions, investment products

Return to Archive

TESTIMONIALS

Previous
Next

Thank You from the bottom of our hearts for all you have done for us. When we realized this was a very bad investment - we did not know where to turn for help. Then we received your name. When we called you - you were so kind to us and then agreed to help us. For this we are so very grateful. The world would be a much nicer place if there were more people like the two of you in it. We will always remember all the help and kindness you have shown us. Thank you so very very much for everything.

Wayne and Judy S.

LATEST NEWS AND ARTICLES

April 24, 2024
RIA Insurance Claims Skyrocket

A recent analysis by Golsan Scruggs reveals a staggering 231 percent increase in errors-and-omissions (E&O) liability claims among registered investment advisor (RIA)
insurers.

April 23, 2024
Surge Predicted in Regulation Best Interest Cases

According to a recent analysis, Reg BI-related actions quickly have ascended to the top five issues for FINRA, with fines totaling $6 million in 2023.

April 22, 2024
FINRA Fines Independent Broker-Dealers Over Cybersecurity Lapses

The Financial Industry Regulatory Authority (FINRA) has imposed fines and censured independent broker-dealers Osaic Wealth and Securities America for cybersecurity deficiencies that led to hackers accessing the private information of more than 32,000 customers.